The crypto market is in an upswing, with the total value surging by 3.3% in the past 24 hours to reach an impressive $3.59 trillion. Leading this bullish wave, Bitcoin is trading at $101,800. Other top cryptocurrencies like XRP, SOL, and DOGE are also posting significant gains. Amid this momentum, whales are actively moving funds, as highlighted by Santiment, which revealed the top eight tokens drawing their attention, including AAVE.
Whale Activity Shifts Towards AAVE and Other Altcoins
As the market sentiment turns positive, whales are strategically targeting specific tokens. According to Santiment’s analysis on The Bit Journal, altcoins with a market cap exceeding $500 million have seen substantial whale activity this week. Below is the list of tokens experiencing the highest surge in whale transactions:
- Maker DAO (DAI) (on BNB Chain): +800%
- Dexe Network (DEXE): +250%
- Layerzero (ZRO) (on Optimism): +200%
- Aave (AAVE) (on Polygon): +200%
- Maker DAO (DAI) (on Arbitrum): +182%
- Telcoin (TEL): +100%
- Gate Token (GT): +100%
- Ripple (XRP): +81%
- Maker DAO (DAI) (on Polygon): +182%
- Ondo Finance (ONDO): +59%
Santiment notes that whale activity often precedes major price reversals or rallies, as significant stakeholders either take profits or position themselves for future gains. Increased activity in stablecoins, such as DAI, is typically a precursor to fund reallocations into related altcoins. “DAI’s presence three times on this list highlights its deep ties with ETH-based assets,” Santiment emphasized.
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What’s Driving the Crypto Market Rally?
The recent rally in crypto prices was sparked by the release of the U.S. Consumer Price Index (CPI) report for December. The report showed a 0.4% increase, slightly above the expected 0.3%, and a 2.9% year-over-year rise. While inflation remains a concern, the steady improvement in the CPI has boosted investor confidence, fueling the current market uptrend.
Litecoin ETF Creates Buzz, Bitcoin ETFs See Inflows
Litecoin is gaining attention following Nasdaq’s application for a Litecoin ETF, bolstered by encouraging feedback from the SEC. Analysts now believe the odds of approval are higher, generating optimism among investors. Meanwhile, Bitcoin ETFs recorded robust demand, with $626.1 million in inflows on January 16, following $755 million the previous day. BlackRock’s contribution of $527.9 million underscores the growing interest in Bitcoin as the market recovers from a period of outflows.
Conclusion
With heightened whale activity and improving market conditions, the crypto market is poised for continued growth. AAVE, XRP, and other highlighted altcoins are emerging as focal points for large investors, signaling potential opportunities for retail traders.
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The price predictions and financial analysis presented on this website are for informational purposes only and do not constitute financial, investment, or trading advice. While we strive to provide accurate and up-to-date information, the volatile nature of cryptocurrency markets means that prices can fluctuate significantly and unpredictably.
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