$14.8M Whale Activity Affects TRUMP Price: Is $4.80 the Next Target?

A significant event in the cryptocurrency market occurred as a whale deposited 3 million TRUMP tokens, valued at $14.88 million, into Binance. This move followed a previous withdrawal of the same tokens worth $22.68 million, resulting in a realized loss of approximately $7.8 million. Despite this drop in value, the TRUMP token price has remained relatively stable above $4.80, indicating a mixed response from the market.

Key Takeaways

A whale deposited 3 million TRUMP tokens into Binance, incurring a loss of $7.8 million.
TRUMP price stabilized above $4.80, suggesting some market absorption of selling pressure.
Resistance was observed around $5.20-$5.25, with failure to sustain above this level leading to a retreat towards $5.
Market sentiment indicates weak bullish momentum, with traders cautiously leaning long amid tight risk management.
Liquidity analysis warns of potential sharp price movements with key clusters forming above and below current levels.

Whale Deposit Triggers Market Reaction

A whale made headlines by depositing 3 million TRUMP tokens, amounting to $14.88 million into Binance after holding for about 50 days. The initial withdrawal was for $22.68 million, leading to a considerable realized loss of approximately $7.8 million. This action indicates capitulation rather than profit-taking, especially as it occurred well below the original entry price.

Despite this substantial sell-side activity, the price of TRUMP did not sharply decline, managing to stay above the $4.80 mark. This resilience suggests that the market is absorbing some of the increased supply rather than reacting panickedly.

Source: Lookonchain

Resistance Limits Price Growth

TRUMP’s price had previously broken above a descending channel but struggled to remain above the former upper boundary of $5.20–$5.25. After retesting this zone, it encountered immediate resistance, confirming this area as a significant barrier rather than reclaimed support.

As a result, the price declined back towards $5, which now serves as a crucial short-term pivot. If the price falls below this level, it could open the door to further declines towards $4.80, where previous low reactions and liquidity pockets exist.

Currently, the relative strength index (RSI) stands at 46, indicating weak bullish momentum, especially in light of the recent breakout attempt. However, it remains above the oversold threshold near 30, signaling that selling has been controlled rather than panic-driven. Overall, recent price movements suggest a failed continuation rather than a reversal in trend, emphasizing the need for bulls to reclaim $5.20 with more momentum to ease downside pressure.

TRUMP Price Action Analysis

Buyer Activity Amidst Weak Structure

Over a 90-day window, the spot taker cumulative volume delta (CVD) has indicated a buyer-dominant trend, suggesting that market buy orders are exceeding sell orders despite recent rejections. This divergence is significant as it shows that buyers are stepping in even as the market structure weakens.

However, the price has not moved higher, leading to speculation that the current buying activity might indicate absorption rather than strong demand. This reactive buying behavior often occurs during periods of market consolidation rather than strong trend reversals. As long as the CVD remains positive without corresponding price increases, demand may counteract selling pressure but fail to generate upward momentum.

Source: CryptoQuant

Trader Sentiment is Mixed

Analyzing trader positions on Binance reveals that 56.87% of accounts are long, while 43.13% are short, resulting in a long/short ratio of approximately 1.32 on a four-hour timeframe. This distribution shows a bias towards long positions but lacks aggressive conviction.

The ratio can change quickly, reflecting active position management rather than a strong directional commitment. Thus, while traders seem to be cautiously leaning long, they are likely managing risk tightly. Shorts have not dominated the market thus far, keeping the price contained. This balance heightens sensitivity to liquidity-driven price movements, which may lead to increased volatility without clear trend direction.

Source: CoinGlass

Liquidity Clusters Indicate Potential Sharp Movements

The 24-hour liquidation heatmap indicates significant clusters of liquidations above the price, particularly between $5.10 and $5.20, while less liquidity exists below near $4.80. This distribution increases the likelihood of sharp price movements toward these liquidity zones.

Typically, clustered stops draw short-term price probes during periods of low conviction. Therefore, TRUMP’s price may rise to test the overhead liquidity before deciding its direction. If it fails to clear this zone, there may be further downside risk towards lower liquidity areas.

Source: CoinGlass

Conclusion

The price of TRUMP remains at risk following its inability to reclaim the $5.20 mark, with the prevailing structure suggesting increasing downside pressure. Despite buyer absorption of sell orders, demand has not translated into any price increases thus far.

Final Thoughts

Traders should stay alert to ongoing market developments surrounding TRUMP as the situation continues to evolve. With varying dynamics in buying and selling pressure, and significant liquidity clusters above and below current price levels, traders could experience notable price volatility in the near future.