dYdX Token Soars 29% Despite Whale Selloff
The native token of the decentralized trading platform dYdX has experienced a remarkable rally, climbing 29% in the last 24 hours. As of this writing, DYDX is trading at $1.28, with a market capitalization nearing $820 million and a daily trading volume of approximately $350 million.
Notably, the asset witnessed a significant increase in large holder outflows after reaching $1.31 for the first time since late July. Data from IntoTheBlock reveals that DYDX saw a whale inflow of 6.42 million tokens and an outflow of 6.82 million tokens, resulting in a net outflow of 401,270 tokens on Sunday, October 20.
While sudden surges in large holder outflows often signal panic-selling, this selloff was balanced by increased accumulation, pushing DYDX to a three-month high of $1.33 later that day.
Meanwhile, inflows to centralized exchanges have been on the rise since October 18. According to IntoTheBlock, around 600,000 DYDX tokens entered centralized exchanges yesterday, indicating that some investors may be preparing to take profits before the price experiences a pullback.
This behavior aligns with current market sentiment, as 91% of coin holders are still at a loss, with only 9% in profit. Given the token’s 72.5% decline from its all-time high of $4.53 in March, some investors may be seeking to mitigate their losses.
On October 10, CEO, Antonio Juliano, returned after a six-month hiatus, during which he served as chairman. Reflecting on his time away, Juliano remarked: “Vision is essential to unite and inspire. In my absence, execution continued well, but I sensed that slowly, people were starting to ask, ‘Wait, what are we really doing here again?’”
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