In the ever-evolving world of cryptocurrency, it is not just the ups and downs of the market that attract the attention of enthusiasts and investors. Recent data from cryptocurrency analysis firm Santiment has shed light on a fascinating trend. Even as the broader market experienced a downturn, certain altcoin projects were experiencing an increase in whale activity. Here are the details…
Santiment data drew attention for these altcoin projects
Santiment analysts focused on various altcoins such as dYdX (DYDX), Ocean Protocol (OCEAN), TrueUSD (TUSD), and Request (REQ). He also emphasized that whales took action in Chainlink. In general, he closely monitors the activities of whales in the cryptocurrency space. Despite the overall bearish trend in the altcoin market, these particular coins have seen a significant increase in whale activity. Typically, whales are known to increase their participation in an asset following a price decline. This usually indicates the possibility of a price reversal in the near future.
🐳 As the #altcoin pack mostly declines Wednesday, we see outlier whale activity suddenly picking up on the $DYDX, $OCEAN, $TUSD, and $REQ. Typically, when whales pick up activity on an asset with falling prices, a turnaround becomes much more likely. https://t.co/GQoTKuk9F6 pic.twitter.com/P3KtUMyUBK
— Santiment (@santimentfeed) October 11, 2023
TrueUSD (TUSD), a stablecoin, stands out among these altcoins. As a stablecoin, the price of TUSD is pegged to a stable asset such as the US dollar. This makes it less susceptible to wild price swings seen in other cryptocurrencies. It is worth noting that TrueUSD recently received support from cryptocurrency exchange giant Binance. In the past, TUSD was among the most popular trading pairs with Bitcoin on Binance due to its transaction fee waiver. However, Binance has since added support for several other smaller altcoins, stablecoins, and more. Changpeng Zhao (CZ), CEO of Binance, stated that he is in favor of a market with various stablecoins rather than the dominance of a single stablecoin.
Chainlink also caught Santiment’s attention
In the volatile world of cryptocurrencies, whale activity often serves as an indicator of market sentiment and potential price movements. The recent increase in whale activity on dYdX, Ocean Protocol, TrueUSD, and Request suggests there may be more to the story than meets the eye, especially considering TrueUSD’s stablecoin structure and relationship with Binance. Santiment also pointed to Chainlink. According to Santiment’s tweet about this altcoin, LINK is the focus of smart money. Especially wallets holding between 100 thousand and 10 million LINK experienced an increase. Compared to about three weeks ago, the amount of investors in this range increased by 6 percent.
🐳🦈 #Chainlink's market value sits at $7.31, trading ahead of most of #crypto over the past 12 hours. Watch where smart money is going, particularly wallets with between 100K to 10M $LINK, which have 6% more addresses in this range compared to Sep. 18th. https://t.co/80kUW3q9Hj pic.twitter.com/kUY9TL9K1J
— Santiment (@santimentfeed) October 11, 2023
Cryptocurrency enthusiasts and investors will be watching closely to see how these developments unfold, as they could have broader implications for the altcoin market. Santiment’s data offers a unique perspective on the cryptocurrency ecosystem. Thus, it reveals that the crypto world is as dynamic and versatile as coins.
