Key Insights:
- AAVE daily chart shows that RSI has fallen back from the oversold zone and is currently trading with an RSI of 65.
- DYDX charts show that the cryptocurrency is in an overbought zone with RSI above 70.
- The daily chart of MATIC shows that it can be a good candidate for buying but with strict stop-loss.
DYDX, AAVE, and MATIC have seen sharp price rises of 94%, 56%, and 35% within a month. There has been an increased whale activity in these three cryptocurrencies because DYDX postponed its vesting schedule, AAVE is getting ready for its V3 launch, and MATIC has witnessed a spike in transactions after multiple institutional partnerships.
Analysis of Whale Activity in DYDX, AAVE, and MATIC
Crypto data research firm, Santiment has reported an increased whale activity in three cryptocurrencies, namely DYDX, AAVE, and MATIC.
DYDX reported the highest transactions around 21 Jan 2023 and again on 24-25 Jan 2023. AAVE noted higher whale activity between 15-18 Jan 2023. MATIC saw whales buying all over the month of January.
Whales are buying more for these fundamental reasons rather than just bullish price action.
DYDX has delayed its vesting schedule. The current tokens in circulation are just 15.6% (156 Million) of the total number of minted tokens(1 Billion). An initial vesting schedule was supposed to unlock another 83 Million tokens, which got delayed till December 2023.
AAVE is ready for its V3 launch. It has also created a past debt of 2.7 Million CRV DAO tokens which it took after the Mango Markets incident. There are 14 Million tokens currently in circulation.
MATIC continues its price journey based on increased institutional partnerships with Disney and Facebook(META).
DYDX Price Analysis
DYDX charts show that the cryptocurrency is in an overbought zone with RSI above 70. However, MACD data shows that there is a further upside move possible. Volume over the last few days also indicates upcoming selling pressure due to profit booking.
Traders can short the cryptocurrency with a view of 2-3 days at the following levels.
Target(SHORT): $2, $1.7
Stoploss: $2.3
AAVE Price Analysis
In the AAVE daily chart, RSI has fallen back from the oversold zone and is currently trading with an RSI of 65. A falling RSI from above 80 to 65 indicates a weakness in price momentum. Further, MACD data shows that a negative crossover is imminent. Therefore, it is also a good candidate for shorting.
Traders can short AAVE at current price levels and follow target and stop-loss below.
Target(SHORT): $80
Stoploss: $89
MATIC Price Analysis
MATIC is a good candidate for long-term investment as well as trading. The daily chart of MATIC shows that it can be a good candidate for buying but with strict stop-loss. MACD data shows positive price action both in daily and 4-hour charts. An RSI of 65 indicates that it is slightly overbought. Finally, the volume also shows positive buying in the last few days.
There is a clear chart pattern of Higher Tops and Higher Bottoms. Further, there is a strong fundamental uptrend in crypto due to the metaverse partnerships with Disney and NFT partnerships with Facebook.
However, only buy MATIC when it crosses $1.12. This multi-month resistance was touched on Nov 10, 2022, and Jan 26, 2022.
Buy at or above $1.12.
Target(LONG): $1.26
Stoploss: $1.12
Disclaimer: Voice of crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.
