$127K in sight for Bitcoin? What’s next as BTC rises amid drying supplies
- VIRTUAL remained the fourth-best performer in 90 days, with AI tokens gaining 10.8% last month as a segment.
- Smart money wallets sold $1.2M in 7 days but re-entered with $76K in buys over the past 24 hours.
Virtuals Protocol [VIRTUAL] recorded a major sell-off in the past 24 hours, causing the altcoin to slide 9% and bringing its weekly gain down by 25%.
Interestingly, AMBCrypto analysis found that smart money contributed to the recent decline; who now appear to be re-entering the token.
Why is smart money selling to buy back VIRTUAL?
According to Nansen’s report, VIRTUAL currently has the highest number of smart money holders compared to any other memecoin or AI token in the market.
Smart money refers to investors who have previously profited by entering early positions in tokens and securing notable price gains.
Source: Nansen
A larger cohort of these investors holding a token often indicates a higher potential for that asset to outperform in the market. VIRTUAL’s smart money activity, however, reveals something interesting.
These investors sold $424,000 worth of VIRTUAL in the past 30 days and $1.2 million worth in the past seven days.
However, in the past 24 hours, they began buying the token again, adding $76,000 worth of VIRTUAL to their portfolios.
AMBCrypto’s analysis suggests this could be a deliberate reset to drive a new price leg upward.
Where is VIRTUAL heading?
The recent buyback by smart money comes at a time when VIRTUAL is trading along a major ascending support level.
This ascending support line has sparked rallies on several occasions. In the last two instances, it led to a significant price increase.
Source: TradingView
Analysis shows that this time, the asset has a high probability of gaining up to 45%, potentially reaching $2.5. If the rally fails to materialize, VIRTUAL faces the risk of a drop, with a strong likelihood of declining to $1.17.
Can sector strength and history fuel a recovery?
Despite recent weakness, VIRTUAL remains the fourth-best performing token over the last 90 days—up 139.78%.
It ranked just below memecoins like Fartcoin [FARTCOIN] and SPX6900’s [SPX], and Form [FORM], a SocialFi leader.
Source: CoinMarketCap
Similarly, in the past month, Artemis’ segment ranking shows that AI tokens ranked fifth in the market, posting a 10.8% gain.
This alignment between VIRTUAL’s performance and the AI token segment ranking suggests continued trader interest in the asset, reinforcing the potential for another rally.
