In a striking turn of events within the cryptocurrency landscape, the recent maneuver of a major whale has sparked considerable intrigue. The whale’s significant swap of Shiba Inu (SHIB) tokens—amounting to a staggering 255.6 billion—has led to a notable increase in the price of Fetch.ai (FET) tokens, with ripples felt throughout the market.
Whale Activity Unveiled
According to data shared by the Twitter account @spotonchain, an influential crypto whale, once heavily invested in SHIB, recently exchanged these tokens for FET, valued at approximately $3.11 million. Remarkably, although the whale’s position in SHIB is now lessened, they still retain a substantial investment of $10 million in the token.
This whale has been navigating the SHIB market since December 2021 and was active in trading between February 21 and June 22. During that span, they garnered a notable profit of $145 million, though they also experienced an unrealized loss of $11.51 million, prompting this strategic repositioning into FET.
FET Price Action: Trends and Indicators
The recent trading activity has stirred bullish sentiment within FET, reflected in a 14% price increase shortly after the whale’s transaction. Analyzing the daily chart, FET has demonstrated a constructive bullish reversal, though it encountered resistance at the 100-day EMA and revisited the support zone around $1.
Current Price Metrics
- Current price: $1.16 (up 3.71%)
- Trading volume: $237.49 million (an increase of over 23%)
As FET has exited a falling channel pattern, it has rallied over 50% in the preceding two weeks. Technical indicators further strengthen the bullish narrative; the Chaikin Money Flow (CMF) signals increasing capital inflows, while the Relative Strength Index (RSI) stands at 56, indicating bullish momentum.
Holder Breakdown
Recent data from IntoTheBlock reveals that approximately 48.66% of FET holders are currently in profit at prevailing price levels. However, more than 40% of addresses reflect unrealized losses, highlighting some disparities in market performance.
Despite these gains, Futures Open Interest (OI) has dipped by 3.20% to $54.27 million, indicating potential short-covering activity that might sustain the current price momentum.
What Lies Ahead for FET?
If FET maintains its position above the 20-day EMA, it may escalate towards the next resistance levels of $1.80 and subsequently $2. In contrast, should it fail to hold the $1 mark, the pivotal support level might reset at $0.92, followed closely by $0.800.
As always, traders and investors will be keeping a close watch on how these developments unfold in the ever-volatile cryptocurrency marketplace.
