SAND continues to “bloom” or stagnate after increasing 319% in just 1 week?
With so many cryptocurrencies around us, you’ve probably never heard of SAND. It’s Sandbox’s native token and has only recently caught everyone’s attention, although it has been around for a while. Surprisingly, SAND’s performance over the past 7 days is both commendable and curious.
Beware of sandstorms!
SAND, the token of the popular game The Sandbox, saw a massive 319% increase in 7 days.
SAND rose 319% in just 1 week | The source: TradingView
While no specific reason has been disclosed as the cause, there is certain reason why people become aware of it. The project has raised over $ 93 million from Series B investments led by Softbank Vision Fund 2, Bitcoin Magazine reported.
As a result of the above increase, both network and investor numbers for SAND reached unprecedented levels. Initially, the number of active addresses rose 798% to an all-time high of 4.68k. This turned out to be a good step as investor profitability peaked at 100% and no owner suffered a loss.
Number of active SAND addresses | The source: In the block
Additionally, after months of practical inactivity, the market value of SAND is finally beginning its upward trend. In fact, it is at a recent all-time high at the time of writing.
MVRV rate from SAND | The source: mood
Most interestingly, the whale went completely wild during the rally and ended up selling over $ 301 million in SAND.
Incredibly, this is 58,919.6% of the whale’s trading volume.
Sand Whale Movement | The source: mood
one more thing?
With whales holding 85% of the total supply, this token still lacks a solid investor base. In fact, only 34,000 addresses have a balance.
Address distribution by SAND | The source: In the block
Plus, all of these spikes are temporary as the average of each indicator appears to be a single digit percentage of the level at the time of writing.
Even for the price, the location is not rated as excellent. SAND has not managed to stay above the $ 1 mark since April. Although the price hit this level in less than a week, it soon fell before rising again – meaning the rally is definitely not stable.
It should not be forgotten that tokens with a central supply in the hands of whales always have a red flag. In the event that non-moving coins like SAND rise in unprecedented fashion, they tend to fall quickly.
In conclusion, investors should not indulge in such rallies and should definitely do their own research carefully before investing.
Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews
According to AMBCrypto