- SANTOS Crypto has secured a listing on Binance Futures.
- The token’s price rose to a seven-month high after the announcement, but risks remain.
Investor enthusiasm for Santos FC Fan Token soared [SANTOS] on Oct. 28, when it posted intraday gains that exceeded 100% after announcing a major stock market listing.
Binance expanded its futures trading options with launch the SANTOSUSDT perpetual contract on Binance Futures, which offers up to 75x leverage. It went live and offered token holders a new trading option.
For those unfamiliar, the Santos Token is a fan token dedicated to the Brazilian football club Santos FC.
It was created in collaboration with Binance’s Fan Token platform.
The price performance of SANTOS
The listing pushed SANTOS to a high of $8.3, the highest price since late March. At the time of writing, the price stood at $5.1.
According to CoinMarketCapthis meant a daily gain of more than 50% for the coin.
Furthermore, trading volume has increased by 5000% in the last 24 hours, reflecting a substantial influx of activity and investor interest.
This increase helped push the token’s market cap to $29.05 million, an increase of approximately 60%.
Is a relapse imminent?
To analyze the prospects of the SANTOS crypto, AMBCrypto delved deeper into its daily chart. The analysis revealed that the Relative Strength Index (RSI) reached 77.72, putting it firmly in overbought territory.
This elevated RSI level typically indicates that the asset may face potential corrective pressure in the near term.
Source: TradingView
Moreover, the Chaikin Money Flow (CMF) confirmed an increase in profit-taking activity among market participants.
At the time of writing, the indicator was below the zero line at -0.31, indicating that selling pressure was greater than buying interest.
Meanwhile, $5.5 remained a key barrier likely to lead to a potential price rejection. Earlier this month, the token faced a similar rejection at this level, leading to declines that threatened the $3.6 support.
Moreover, this last level is crucial for maintaining the token’s bullish momentum. If this fails, SANTOS could face further downward pressure, with the price possibly heading towards $2.5.
The rise of fan crypto with SANTOS
While the announcement made SANTOS the biggest winner among fan cryptos over the past 24 hours, the gains were not isolated.
Source: CoinMarketCap
Other fan tokens, including Alpine F1 Team Fan Token [ALPINE]Spain National Fan Token [SNFT]SS Lazio Phantom Token [LAZIO]and FC Porto Fantoken [PORTO]also saw impressive double-digit increases.
It is worth noting that at the time of writing, SANTOS was the second largest fan token by market capitalization, closely followed by the Paris Saint-Germain Fan Token [PSG].
As fan tokens continue to capture the attention of crypto enthusiasts, this sector appears to be developing as a niche within the broader crypto market.
Ergo the question: could fan tokens become the next “IT” thing, joining the ranks of memecoins and AI tokens? Well, only time will tell.
Their long-term relevance will depend on whether they can consistently engage and add value to their communities in a sustainable way.
