Token listing during bear market
As market makers, projects often ask us for advice on listings in this market situation. Concerns about token projects relate to high listing fees on CEX exchanges, adverse market sentiment, and declining prices. Listing a token during this period might generate less excitement and attention than during a bull market.
Is it worth listing a token or waiting for a change in market sentiment?
Aspects to consider when making a decision
Token listing is a time-consuming process, and market sentiment can change. However, the listing might be a strategic move as any bear market will finally end. Additionally, projects having a unique value proposition for a community stand out even in a tough and prolonged market. Besides, your investors are waiting for it. It could give them an opportunity to buy the token at a lower price.
Is your product, community, and team ready for listing?
If the token has strong fundamentals, a clear use case, and a dedicated team working on the project, the listing may be the right decision for a token exposure. But there are some more considerations to keep in mind when making that decision:
How you can deal with high listing costs
Lowering listing fees for a cryptocurrency token on a centralized exchange (CEX) can be challenging, as crypto exchanges typically charge these fees as a source of revenue. However, there are some strategies and considerations that you can explore to reduce or negotiate listing fees potentially:
Carefully assess whether the benefits of listing on a particular exchange justify the associated costs. A successful listing should align with your project’s goals, user base, and overall strategy.
It’s also important to remember that exchanges have policies and criteria for listing tokens, and each negotiation will vary. Consider seeking the assistance of market makers who have experience with exchange listings. They may introduce you to the exchange listing teams or provide insights to help negotiate.
Listing support – liquidity provision and stabilizing prices
Listing during a bear market may impact the liquidity of the token. Lower trading volumes and high price volatility can make it more challenging for investors to decide about new investments. When investors encounter empty order books, they are unlikely to return. Supporting the overall health of the token market by ensuring constant liquidity is crucial for smooth trading and price stability, especially in a bear market.
Empirica supports token projects in listing on centralized and decentralized exchanges
We are market makers and liquidity providers on most centralized and decentralized exchanges. We support token listings as one of the leading market makers there with a significant market share. We also improve liquidity long-term.
Find out how we can help your project by scheduling a call.