Despite OKB’s crash, some interesting developments are on the way for the OKX ecosystem
- The latest crash reversed OKB’s weekly gains to a great extent.
- The number of wallets holding OKB tokens increased during the last week.
Prominent exchange OKX’s [OKB] native token registered a steep drop of over 8% in the last 24 hours of trading, marking an end to its seven-day winning streak, data from CoinMarketCap showed. The downfall was precipitated by Bitcoin [BTC], which slipped to its lowest value in April of $27,247, at the time of writing.
Read OKB’s Price Prediction 2023-24
The latest crash reversed OKB’s weekly gains to a great extent. However, things could change pretty quickly for the token as the OKX ecosystem was looking forward to some interesting developments.
Exciting times for OKX
OKB holders were eagerly waiting for the SUI token sale on OKX Jumpstart that was slated for 23 April. Since its Testnet Wave 1 launch in November 2022, the layer-1 (L1) protocol, Sui Network, has been one of the most anticipated projects.
Only OKB holders are eligible to participate in the token sale. This could have fueled demand for the exchange token of late.
? Only $OKB holders are eligible to participate
? Snapshot from Apr 20-22
— OKX (@okx) April 21, 2023
Furthermore, there was immense hype around the soon-to-be-launched OKB Chain, which went live on a test network last month. The new chain will be a layer-2 Ethereum [ETH] scaling solution using the zero-knowledge rollup (zk-rollup) technology.
However, unlike other rollups, the transaction fees on the chain will be paid in OKB instead of ETH. Anticipating its value as the utility token of the ecosystem, more traders would be tempted to amass OKB in the near term, thus contributing to its price rise.
OKB in safe hands
A greater number of wallets started to get involved in OKB transactions over the past week, indicating the token’s growing prominence.
Most of these wallets were buyers, as the number of holders for OKB increased during the same time. This showed that users were betting on price increase of the coin.
Another reason behind the growing number of holders could be the increasing profitability of the network. The MVRV Ratio scaled the highs of the positive region, implying that most holders were in profit at the time of writing.
Realistic or not, here’s OKB market cap in BTC’s terms
Additionally, data from DeFiLlama revealed that the exchange recorded net inflows on a 24-hour, weekly and monthly basis, meaning that more funds were injected into the platform than flown out.
OKX was the second-largest centralized exchange in terms of total value locked (TVL), holding assets worth $9.98 billion. Its clean asset reserves were found to be 100%, which was the best among major exchanges.