What CRV whales on the move could mean amid this major development
- Curve finance might play a pivotal role in CHDC deployment.
- CRV sees sell side pressure which might be triggered by whales taking short-term profits.
The dawn of CBDCs is almost here but have you ever thought about the infrastructure that will support them? Curve Finance might be one of them. Interestingly, whales have recently been showing interest in its native token CRV.
How many are 1,10,100 CRVs worth today
Recent reports revealed that Project Mariana is contemplating using Curve Finance’s Curve v2 HFMM to deploy wholesale CBDC pools. The project is a collaboration of central banks from multiple countries and it is currently exploring on-chain CBDC deployments. In other words, Curve Finance might be about to become a pivotal part of a major tradFi upgrade.
We might see a surge in demand for CRV if Curve Finance becomes Project Mariana’s official partner. Such an outcome might lead to speculative demand for the native token. Recent data placed CRV among the top 3 altcoins that witnessed significant interest from whales in the last 24 hours.
Whale activity is like a double edged sword because a surge can represent both buying and selling pressure. So, is CRV experiencing a surge in demand or sell pressure? Well, CRV kicked off the second of half of June with some bullish momentum. However, that upside has recently found resistance above the $0.70 price level.
Are CRV whales selling?
CRV exchanged hands at $0.66 after some price slippage in the last 24 hours at the time of writing. This means sell pressure was on the rise as demand witnessed a slowdown. This might signal that the recently observed whale activity might represent profit taking.
It makes sense that some whales have been taking profit after the recent surge. Price indicators revealed that this pressure was manifesting after the RSI and the MFI surged to 50% levels from oversold territory.
Shifting gears back to whale activity, we see that addresses holding over 100 million CRV have control roughly 66% of CRV’s circulating supply. This meant they have the most control over the market.
The same whale category reduced their holdings by a significant margin since 23 June. This may explain the price weakness within the same duration. On the other hand, some of the top whale categories gained, hence softening the potential downside.
Also worth noting that CRV’s volume metric showed a lack of stimulation. Network growth has also cooled down significantly in the last few days. In short, the condition of the metrics underscored a lack of strong demand.
Is your portfolio green? Check out the CRV Profit Calculator
Based on this analysis, it appears that some CRV whales have been taking short-term profits. However, the real question is whether they will change their mind if CRV becomes an official partner with Project Mariana.