Recent Transfer by a Whale May Lead to DYDX’s Price Dropping

• The blockchain tracking firm Lookonchain highlighted a large DYDX transfer to Bybit this morning.
• The address responsible for the transfer has habitually sold large portions of DYDX shortly after claiming a chunk of tokens.
• At press time, DYDX was slightly down and trading at $2.17.

The blockchain tracking firm Lookonchain tweeted this morning that a whale recently sold a large portion of his dYdX (DYDX) holdings. In the post, they highlighted that the whale had reclaimed 570,266 tokens and had deposited 225,833 DYDX shortly thereafter to Bybit, a crypto exchange platform.

The price of DYDX at the time the transfers were made means that the whale had received around $1.26 million and had sent $501,000 to the exchange platform. In addition, Lookonchain stated that this particular whale has a habit of depositing DYDX to exchanges to sell shortly after he claimed some tokens.

At press time, CoinMarketCap indicated that the altcoin experienced a loss in the previous 24 hours. As a result, DYDX was trading at $2.17. This also resulted in its weakening against the two crypto market leaders Bitcoin (BTC) and Ethereum (ETH) by 0.48% and 1.05% respectively.

As the 99th biggest crypto project in terms of market cap, DYDX ranked behind Enjin Coin (ENJ) with its market cap of $352,305,550 and ahead of 1inch network (1INCH) with an estimated cap of $338,390,031. The crypto’s negative price movement recently was unable to flip its weekly performance into the red, which stood at +2.85% at press time.

A bullish ascending triangle pattern has formed on DYDX’s 4-hour chart after the altcoin’s price printed higher lows over the past few days. The close of the current 4-hour candle will determine whether or not DYDX’s price will break out of the bullish pattern before it can be validated. The next candle closing below $2.164 will result in DYDX’s price dropping to $2.052.

A confirmation of this bearish thesis playing out in the next 24 hours will be when the 9 EMA line on the 4-hour chart crosses below the 20 EMA line. On the other hand, the next 4-hour candle closing above the $2.164 mark will lead to DYDX’s price attempting to break past the $2.239 resistance level in the next 48 hours.

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