A new report analyzing the performance of tokens across multiple cryptocurrency exchanges has uncovered data that suggests Bybit is the top competitor for Day 1 price surges.
The data, compiled by Simplicity Group Research, assessed Binance, Coinbase, OKX, Gate.io, MEXC, Bybit, and KuCoin’s average token price percentage changes after listing.
While Bybit’s Day 1 price performance presents a substantial opportunity for short-term traders, the report advises caution due to the inherent volatility that follows.
Graph depicting the average 1-week performance of tokens across exchanges. Source: Simplicity Group Research report.
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Competitor analysis
According to the report, Bybit’s Day 1 average token listing price surge of 2738% was the highest valued among eight assessed crypto exchanges.
“Even after removing statistical outliers, Bybit continued to show exceptional Day 1 performance compared to other major exchanges.”
Compared to the other crypto exchanges, Bybit outperformed all its competitors, with Binance witnessing an average 111% increase, and Coinbase saw just a 24% average Day 1 gain.
Furthermore, when considering the weekly changes in price, Coinbase’s average token price adversely compared to its competitors dipped into negative values of -1.87% on average.
Chart depicting the average Day 1, Day 2, Day 3, and 1-Week performance of tokens across exchanges. Source: Simplicity Group Research report.
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Price sustainability caveats
As mentioned above, Bybit outperformed all competitors, ending with an average price increase of 539% at the end of the first week — but around 2,200% down from Day 1.
“Bybit’s sustained price action highlights strong liquidity and ongoing demand for newly listed tokens.”
The caveat to this literal tradeoff is the volatility, most starkly seen between the average price changes on Bybit on Day 1 and Day 2.
Unlike KuCoin and OKX, which show slightly more stable price changes over the week, the average token price on Bybit dropped around 1,906% in value after Day 1 and 313% after Day 2.
Chart depicting distribution of price changes for tokens listed on Bybit. Source: Simplicity Group Research report.
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Takeaways from the report
The report highlights the importance of liquidity and its link to early price fluctuations but, in contrast, notes that it “becomes almost irrelevant by the second day.”
Simultaneous multi-exchange listings create outliers, making it difficult to assess individual performance accurately.
“...future research could explore this further by exclusively analyzing tokens with identical listing dates.”
Overall, the report’s data shows that exchange performance is far from predictable and that large exchanges like Binance and Coinbase don’t always create the largest price pumps after token listing.
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