Post-Listing Performance of Binance Perpetual Contracts in 2023

Summary

The article studies how cryptocurrency prices behaved after Binance began trading their perpetual contracts in 2023. It aligns four-hour closing-price data to each contract's first available observation, excludes contracts already listed at the start of the dataset, and averages normalized prices over the following months. It also compares each contract's performance with a broad index to examine whether overall market moves explain the pattern.

The author reports that newly listed contracts generally declined over the observed period, including relative to the index, and notes that listing activity appeared more frequent during rising markets. The article suggests that enthusiasm may be reflected in prices before trading begins, making later performance weaker. It proposes short exposure as a possible implication, but does not present a controlled strategy backtest or account in detail for fees, borrow or funding costs, survivorship, or differences among contracts. The sample is limited to Binance listings and 2023 data, so the reported tendency is not a guarantee of future returns.

Key ideas

• The study aligns four-hour contract prices by time since each perpetual listing.
• Average prices of newly listed contracts declined over the observed period in the sample.
• The decline remained visible after normalizing for broad market performance.
• Listing frequency appeared to rise during stronger market periods.
• The short-selling implication is a hypothesis from limited historical data, not a proven rule.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.