1INCH, the ticker for the cryptocurrency that powers the decentralized exchange (DEX) liquidity aggregating protocol called the 1inch Network, has dumped around 15% over the last 24 hours, as per CoinGecko.
That makes it the worst-performing cryptocurrency in the top 100 by market cap over this time period, although crypto markets are broadly under pressure with bitcoin (BTC) dipping back under $30,000 and ether (ETH) falling back below $1,900.
1INCH hit its highest levels since March on Monday near $0.60 amid a sudden surge in trading activity.
Open interest in 1INCH futures on Binance surged from around $8.6 million last Friday to highs of over $46 million on Monday according to CoinGlass.com data, the highest since late 2021, as traders rushed in to take out leveraged positions.
1INCH has since retraced around 40% from Monday’s intraday highs to trade in the $0.35 area.
Technical buying amid Monday’s short-lived breakout above a long-term downtrend and the 200-Day Moving Average could have triggered the sudden pump.
Some theorised that 1INCH’s rally could have been a delayed reaction to last week’s positive XRP ruling by a US judge.
Either way, the sudden spike then pullback wrecked a lot of traders.
As per CoinGlass.com, nearly $5 million in futures positions were wiped out on Monday, the highest in at least three months.
Did Whale Selling Kill the Rally?
On-chain analytics-focused Twitter account @lookonchain highlights in a tweet on Monday that a 1INCH whale had sent 7 million 1INCH tokens (worth $3.88 million) at the time to Binance.
Whales sending large amounts of tokens to a centralized exchange often triggers alarm bells for a cryptocurrency, as it could signal their intent to use the exchange to sell their holdings, which could result in elevated sell pressure and weigh on a cryptocurrency’s price.
Indeed, @lookonchain’s warning may have triggered the retracement in 1INCH’s price on Monday, with speculators looking to get in and dump their tokens ahead of the whale pushing the price lower.
The seller could have been defunct and bankrupt crypto yield platform Celsius, which liquidated $25 million in altcoins (including 1INCH) on Monday following a court order.
Regardless of who did the selling, the whale token dump may have killed hopes that 1INCH was about to break out of its more than year-long downtrend.
A retest of yearly lows in the $0.23s remains on the cards.
1inch Network (1INCH) Alternative to Consider – Evil Pepe Coin (EVILPEPE)
With things looking bearish for 1INCH, at least from a technical perspective, traders looking for a token that might offer the prospect of better near-term returns should check out Evil Pepe Coin (EVILPEPE).
Analysts at Cryptonews.com have identified it as one of 2023’s best presale meme coin opportunities, thanks to the fact that 1) it is selling its token at a super cheap valuation of only slightly more than $2 million and 2) it is backed by the same powerful marketing team that delivered huge gains for $THUG and $SPONGE and 3) it piggybacks off of the virality of the Pepe meme coin mania.
With the presale having already raised a whopping more than $60,000, despite launching just hours ago, meme coin degens have no time to lose if they want to get involved.
Evil Pepe Coin will be all sold out when the presale hits $1.996 million.
Visit Evil Pepe Coin Here
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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