PAXG Token Sees 3.97% Drop Amid Collateral Ratio Change and $2.78M Wallet Transfers

PAXGUSDT experienced a 3.97% price decrease in the last 24 hours, with the current price at $4,679.35 and a 24-hour open at $4,873.00 on Binance. The decline is primarily attributed to short-term selling pressure observed across major exchanges, likely driven by broader market risk sentiment and a recent pullback in gold-backed token prices rather than any fundamental shift in gold's appeal. Additional factors include the adjustment of collateral ratios for PAXG on Binance to 50% on January 20 and the transfer of $2.78 million PAXG from exchanges to personal wallets, signaling possible moves towards longer-term holding or decreased immediate exchange liquidity.

Market activity remains robust, with significant 24-hour trading volume and market capitalization reported above $2 billion. PAXG continues to serve as a hedge against inflation and market uncertainty, supported by active trading on the Binance PAXG/USDT pair and sustained interest from both institutional and on-chain investors.