The cryptocurrency that empowers the decentralized exchange (DEX) liquidity aggregating protocol, known by the ticker 1INCH, plunged approximately 15% in the last 24 hours according to CoinGecko. This makes it the most drastically diminishing cryptocurrency among the top 100 by market cap during this timeframe, with the wider crypto markets experiencing tension as both Bitcoin and Ether fell below significant benchmarks.
Despite the general downturn, 1INCH displayed a brief shine of hope on Monday when it marked its highest levels since March near $0.60 following a sudden spike in trading activity. However, this hasn’t sustained. Some speculate a possible influence being a favourable XRP ruling by a US judge last week. On the flip side, the abrupt escalation and subsequent drawback led to massive losses for traders, with nearly $5 million in futures positions eradicated on Monday alone, the highest in recent months.
Now, speculators are eyeing a particular incident that took place on Monday – a ‘whale’ transaction of 7 million 1INCH tokens, equivalent to roughly $3.88 million, to Binance. Such substantial movements to a centralized exchange often signify an attempt to sell considerable holdings, intensifying sell pressure which can negatively impact the price of a cryptocurrency. This move might have been triggered by the liquidation of $25 million in altcoins by the bankrupt crypto yield platform, Celsius following a court directive.
Regardless of the reasons, this event might have effectively squashed any optimism of 1INCH breaking away from its year-long downward trend. Now, a retest of annual lows in the $0.23 area is highly plausible.
Interestingly, amid the bearish anticipation for 1INCH, an alternative is cropping up for traders seeking better near-term returns, the Evil Pepe Coin (EVILPEPE). The same has been identified as one of 2023’s exciting presale meme coin opportunities by analysts at Cryptonews.com for multiple reasons – an incredibly cheap token valuation, backing by a formidable marketing team, and capability to capitalize on the Pepe meme coin frenzy.
While 1INCH’s descent exemplifies the unpredictability intrinsic to the crypto market, experiences like these also remind us of its dynamic nature – where one option loses steam, another one springs to life with promising prospects.
Remember, the volatile nature of cryptocurrency can lead to potential losses of all invested capital. Stay informed, be cautious, and always prepare for the unexpected. That’s the equilibrium necessary in this exciting universe of blockchain technology and digital currencies.
Source: Cryptonews
