Connect with us
Active Currencies 14739
Market Cap $2,551,131,363,846.70
Bitcoin Share 51.56%
24h Market Cap Change $-4.25

As dYdX garners massive whale attention, what’s brewing for the token?

2min Read

Like a simmering pot, dYdX appears inactive at first, but beneath the surface, a group of whales is stirring the dish, accumulating the token and potentially signaling exciting developments ahead.

As dYdX garners massive whale attention, what's brewing for the token?

Share this article

Whales actively accumulated dYdX tokens, as shown by a steady increase in their holdings since March.

-The token’s supply on exchanges declined, and dYdX appeared to be on an upward trend.

Although dYdX [DYDX] appeared to be inactive at first glance, there were strong indications that something significant is brewing beneath the surface. Several noteworthy indicators suggested that the token may be on the verge of an upward trajectory as a specific group of whales were steadily accumulating. 


Is your portfolio green? Check out the DYDX Profit Calculator


Large investors step-up accumulation

An insightful analysis of the supply distribution on Santiment revealed that the whales in the dYdX ecosystem were actively accumulating the token. Specifically, addresses with balances ranging from 100,000 to 1 million dYdXs have steadily increased their holdings since March.

As of now, these addresses collectively hold over 5.6% of the total dYdX supply. The move signals a strong interest in the token among high-value investors, potentially hinting at exciting developments.

dYdX whale accumulation

Source: Santiment

dYdX on exchanges take a dip

Based on Santiment’s data, the accumulation of dYdX tokens led to decreased exchange availability. The supply on exchange metric revealed a significant influx of the token starting on 10 February, but it declined from 8 March onwards. On 27 February, during the peak of the influx, over 80 million tokens were supplied to the exchanges. 

dYdX exchange supply

Source: Santiment

However, as of this writing, the supply on exchanges decreased to around 72.9 million tokens, indicating a visible downward trend. The decline suggests that many investors choose to hold on to their tokens rather than trade them on exchanges.

Social volume and weighted sentiment 

Although the accumulation of dYdX by whales and the decrease in exchange supply are positive indicators, the social volume for the token recently experienced a decline. As of this writing, the social volume decreased to 28, and the weighted average turned negative.

The decline in social activity suggested a lack of discussion and attention around the token and the project. 

dYdX social volume

Source: Santiment

However, for whales accumulating the token, this is a strategic opportunity to continue accumulation. Also, the accumulation at this stage can be done without attracting too much attention or causing significant price fluctuations.


How much are 1,10,100 dYdXs worth today?


dYdX begins an uptrend on a daily timeframe

The daily timeframe chart for dYdX indicated that the token was in an upward trend. The token was trading at about $2.9 at press time, showing a gain of over 6% since the last trading session. Furthermore, the token gained over 16% in the past 72 hours, demonstrating strong upward momentum.

dydx/USD price move

Source: TradingView

The current funding rate for dYdX, as reported by Coinglass, was mostly positive across most exchanges. While no noticeable spikes indicate a high funding rate, traders are optimistic about a potential price increase. 

Share

Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.