#WalletActivityInsights When large movements are detected in the wallet around a certain cryptocurrency and we see that activity increase, we may be witnessing the presence of whales accumulating or selling large amounts, which creates volatility and affects investor sentiment, but we must be cautious.

Whale transactions can cause significant price volatility due to the large volume held and traded. When a whale buys or sells a large amount of cryptocurrency, this often creates artificial demand or supply, leading to sharp price increases or decreases. This effect is more pronounced in smaller markets or lesser-known cryptocurrencies with limited liquidity, where a whale's action can lead to significant volatility.