The “Coinbase Effect”
Back in 2017 when Coinbase offered its customers access to only a few cryptocurrencies: Bitcoin, Ether, new listings saw massive jumps. For example, when Bitcoin Cash was added it had a huge positive effect on its price.
The following much awaited listing was XRP for which many rumours surfaced. Enthusiasts expected that the XRP listing would have a similar effect on it as it has on BCH. As rumours kept circulating over and over again, by the time Coinbase listed it the fire was gone and there was no immediate effect on the price which is in the regulatory favour of Coinbase of course.
In the past few years, Coinbase has been listing a lot of new cryptocurrencies on its platform but as was seen with XRP the good old “Coinbase Effect” was gone and listings were only that, as they should be of course.
The ALGO Listing
In a new twist of events, the Coinbase listing of ALGO (Algorand) which was a surprise and unexpected saw its price jump 35%+ in less than 24 hours.
ALGO was first listed on Coinbase Pro last August, which will support trading with both EUR and GBP pairs starting 21 July. It has also been made available on Coinbase Custody for both storage and staking.