- TRUMP memecoin fell by 19. 84% over the last 24 hours
- Whales are back in the market and may soon embark on a selling spree
TRUMP whales are selling!
Selling pressure has been synonymous with the crypto market over the last 24 hours. Thanks to the same, memecoins like TRUMP haven’t been so lucky, with the same depreciating significantly on the charts.
The latest dip in the memecoin’s value has left large holders in a panic mood. On the back of the same, Trump whales have intensified their market activities. In fact, according to Onchain Lens, a whale withdrew 260k TRUMP tokens from Binance, then sold it for $2.048 million USDC.
After this whale activity, another whale followed suit selling 309,514 TRUMP tokens worth $2.63 million at a loss of $14.06 million.
To put it simply, two major holders sold while the memecoin is on a downtrend. These sales hint at a lack of conviction as large entities lose confidence in the market. Historically, a hike in selling activity has resulted in lower prices as supply outpaces demand.
Impact on the price charts?
As expected, hike in selling activity among TRUMP whales negatively impacted the memecoin. For its part, the memecoin dipped to a 3-month low.
At the time of writing, the memecoin was trading at $7.3. This marked a 19.84% decline on the daily charts. Equally, the memecoin fell on the weekly and monthly charts, losing 24.87% and 37.79% of its value, respectively.
With such a sustained decline on the memecoin’s price charts, the question is whether TRUMP is set for more losses or not.
More losses ahead?
According to AMBCrypto’s analysis, the memecoin is recording significantly strong bearish sentiment as sell-side activity soars.
Source: Coinalyze
For starters, the memecoin’s aggregated funding rate turned negative again after being positive the previous day.
A shift into negative territory here means that shorts have been paying longs. Thus, there is more demand for short positions in the market than longs – A sign of strong bearish sentiment as they anticipate the price to decline further.
Source: Coinglass
Additionally, TRUMP’s spot netflows turned positive over the past 24 hours.
When the exchange netflows for the spot market turns positive, it means that exchanges are seeing more inflows than outflows. Simply, there are more sellers in the market than buyers – Indicative of market bearishness.
Source: MobChart
The memecoin’s selling activity can be further evidenced by a negative order delta. It declined to a low of 23.14k. Often, a negative delta means that more sell orders are being executed in the market than sell ones.
Across the market. there is now massive selling pressure from both whales and retailers. In fact, the memecoin’s RSI declined into oversold territory too.
The hike in selling activity implied that investors and holders are bearish and currently lack conviction in the market. Such market conditions position the memecoin for more losses on its price charts.
Source: Tradingview
Therefore, if selling activity persists, we could see TRUMP drop below $7 to a low of $6.5. For a trend reversal, the memecoin must reclaim $7.7 and record a daily close above it.
