VIRTUAL decreased by 12% in one day, adding to market risks due to geopolitical tensions.
Investors on the Aerodome LP platform have liquidated 7.3 million USD VIRTUAL, indicating growing loss of confidence.
Analysis of the price volatility of Virtuals Protocol [VIRTUAL]
In the past 24 hours, VIRTUAL has decreased by 12.03%, from 1.56 USD to 1.37 USD, indicating a clear downtrend in the cryptocurrency market. This is part of a prolonged downtrend since June, although this AI Token still recorded a profit of 106% over the 90-day period, compared to the Altseason Index, standing above SPX6900.
Notably, this downward trend seems likely to continue, especially as the confirmation of U.S.-Israel airstrikes on Iran at the end of June has heightened geopolitical instability, disrupting investor sentiment in the crypto market.
Source: CoinMarketCap
Trading activity and investor sentiment have decreased
Spot trading activity has significantly declined on both centralized and decentralized exchanges, reflecting decreased interest in this Token. In the past 24 hours, approximately 680,000 USD VIRTUAL was sold on centralized exchanges.
Source: CoinGlass
This comes after two days of strong buying on June 19 and 20, but the current downtrend reflects low prices and a lack of investor interest.
Activity on decentralized exchanges has also declined. The number of active traders on DEX platforms has dropped to 1,600, indicating a decrease in the use of this Token.
The largest sell-off chart from Bybit and Aerodome
According to analysis from TinTucBitcoin, the recent sell-off originated from traders on ByBit and liquidity providers from the Aerodrome Finance [AERO] platform.
Source: Arkham
At the time of analysis, the funding rate on Bybit has turned negative, nearing -6.0%. In contrast, Binance and OKX maintain positive rates of 5.0% and 1.0%, respectively.
This negative interest rate indicates that the majority of traders are opening short positions in Bybit's derivatives market – which is quite significant given that this platform holds a trading volume of 82 million USD VIRTUAL, according to CoinGlass.
Source: CoinGlass
Similarly, Aerodome Finance withdrew 7.3 million USD VIRTUAL from its liquidity pool to avoid further losses as confidence in the community erodes.
Decrease in the number of active addresses on the VIRTUAL network
Negative sentiment still prevails in the VIRTUAL market as the number of active addresses continues to decline. According to Artemis, this number has dropped to 6,300 – the lowest level this month.
Source: Active addresses
This decline clearly reflects a reduction in investor participation, especially after a short-term spike in May. Many traders tend to withdraw rather than return to the market to open new positions.
In the context of increasing global tensions and widespread sell-offs of speculative assets, the short-term prediction for VIRTUAL remains very fragile. If the downtrend continues, this virtual position on the 90-day index will likely continue to decline.
Source: https://tintucbitcoin.com/virtual-giam-12-sau-ban-thao-lon/
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