- Whale investments in SUNDOG hint at growing confidence, with recent acquisitions amounting to over $2.5 million.
- On-chain analytics corroborated the optimistic sentiment, as short positions got liquidated amid climbing price momentum.
The latest whale movements in Sundog [SUNDOG] have garnered interest from market observers, with two major trades stoking speculation regarding the token’s future.
One whale invested $2 million to acquire a significant number of SUNDOG in a single transaction, followed by another whale purchasing $500,000 worth, totaling 1.16 million tokens.
These noteworthy purchases could indicate rising confidence in the asset’s potential. A closer examination of market sentiment, technical indicators, and on-chain metrics will shed light on whether this momentum is likely to persist.
Are whale acquisitions indicating long-term confidence in SUNDOG?
The sudden increase in SUNDOG token holdings by whales suggests a strengthened belief in the token’s upward trend. As of now, the price sits at $0.3597, reflecting a 5.01% rise over the past 24 hours.
This increase has coincided with these major purchases, potentially signaling that whales are positioning for an upcoming significant price movement.
The Bollinger Bands indicate heightened volatility, with price testing the upper band at $0.37146, suggesting that bullish momentum may persist. The lower band, positioned at $0.33825, acts as essential support.
Meanwhile, the RSI stands at 58.54, just shy of the overbought territory, suggesting that further upward movement may be feasible before the token reaches overbought status.
Source: TradingView
How does on-chain data influence this rally?
On-chain metrics provide additional clarity into SUNDOG’s recent ascent. The open interest (OI)-weighted funding rate is at 0.0101%, indicating positive sentiment as traders are willing to pay a premium to maintain their long positions.
Source: Coinglass
Moreover, the total liquidations chart indicates that $90.8K in short positions were eliminated, showcasing how bearish traders are being squeezed as prices continue to climb.
In contrast, only $927.57 in long positions have been liquidated, further reaffirming the bullish sentiment propelling SUNDOG’s current upward trend.
Source: Coinglass
Can SUNDOG’s price continue its ascent?
SUNDOG’s recent price actions and whale accumulation hint that the token may sustain its bullish trend in the near term. Nonetheless, investors should keep an eye on the RSI as it nears overbought thresholds and remain alert for potential fluctuations within the Bollinger Bands.
While whale purchases indicate a robust long-term outlook, how the market reacts to abrupt changes in whale behavior will be crucial in determining if the rally persists.
Overall, the outlook is optimistic for now, but traders must exercise caution and stay vigilant for any unexpected market shifts.
