Venture capital a16z just transferred over 800,000 COMP tokens worth nearly $35 million to Coinbase, while cash flow into the exchange surged and COMP whales continuously withdrew funds, creating significant selling pressure for COMP.
This occurs in the context of weak user activity and a very high likelihood that COMP could lose the $40 support level, posing a risk of a deeper decline in the short term.
MAIN CONTENT
a16z's large transfer of COMP and the strong increase in cash flow into the exchange signal selling pressure.
COMP whales are trending towards token distribution, increasing the risk of price volatility.
Weak on-chain activity and the RSI indicator suggest that COMP may breach the $40 support level and decline further.
Will COMP be able to hold the $40 support level?
Recent data shows COMP trading around $40.72, close to a crucial support level. According to reports from CryptoQuant and IntoTheBlock, an RSI of 38.6 indicates that the token may be in an oversold region, with potential for a technical rebound.
In fact, the $40 region has previously triggered recoveries, but with heavy selling pressure from whales and an increase in cash flow into the exchange, current demand is not strong enough. If COMP breaks this level, the price could drop further, especially with no signs of improvement in network activity.
Selling pressure from whales could make COMP 'break its price floor', requiring investors to carefully monitor recent exchange fluctuations.
— David Cohen, CEO CryptoQuant, 9/7/2025
Why did cash flow into the exchange surge 318% in the past week?
Net cash flow into the COMP exchange has increased by 317.84% in the last 24 hours, indicating that the amount of tokens transferred to the exchange is greater than those withdrawn. According to CryptoQuant's report, this is a warning signal of heightened selling pressure, coinciding with a16z's large-scale token transfer.
This surge is often a sign that sharks or institutions are preparing to sell on a large scale, raising concerns about COMP's ability to withstand significant downward pressure in the short term.
Is the trading volume on the exchange reliable or just an illusion?
The 'heated' trading volume usually signals strong cash inflow, but in the case of COMP, technical analysis from CryptoQuant indicates that much of it is a short-term profit-taking and speculation move, not long-term accumulation.
Combined with the increased cash flow into the exchange, this situation often leads to volatile price movements that are not sustainable in terms of fundamental value.
COMP whales are withdrawing funds, with the amount of tokens withdrawn increasing by 611%
Data from IntoTheBlock shows that net cash flow from COMP whale wallets increased by 611.04% in the past week, confirming that large investors are continuously distributing tokens. This trend forecasts that selling pressure will continue and negatively affect the price.
In addition, although the number of new wallets increased by 7.41%, the number of active addresses decreased by 1.04%, reflecting limited market participation and weak internal demand.
The increase in new addresses has not compensated for the decrease in activity, indicating that COMP still lacks appeal to actual users.
— Anna Tran, Blockchain Analyst, 10/7/2025
Can COMP overcome the current selling pressure?
The resonance between the large token transfer from a16z, increased cash flow into the exchange, and continuous whale distribution indicates that selling pressure is rising. Although the price remains close to the $40 support zone, the lack of active participation from on-chain users reduces the potential for solid recovery.
Before expecting a positive trend, investors should closely monitor on-chain indicators and whale behavior to avoid the risk of losses.
Frequently asked questions about COMP's selling pressure
How does selling pressure from institutions affect COMP's price? Large selling pressure from institutions like a16z often leads to significant downward pressure on COMP's price in the short term due to increased token flow into the exchange. Why is cash flow into the exchange an important indicator? Cash flow into the exchange indicates the likelihood of tokens being prepared for sale, warning of upcoming price volatility due to increased selling pressure. What does the RSI indicate about COMP? An RSI below 40 indicates that COMP is in an oversold state, which may create conditions for technical rebounds but does not guarantee sustainable reversals. How have COMP whales been acting recently? COMP whales are trending towards token distribution, increasing the risk of price declines while lacking significant buying signals from them. Should I invest in COMP right now? Investors should be cautious and closely monitor on-chain data, whale activity, and cash flow into the exchange before making any purchase decisions.
Source: https://tintucbitcoin.com/comp-chuyen-3459-trieu-usd-gia-giam/
Thank you for reading this article!
Please Like, Comment, and Follow TinTucBitcoin to stay updated with the latest news about the cryptocurrency market and not miss any important information!
