Skip to content

Monster whale activity to watch for these 2 cryptocurrencies

Monster whale activity to watch for these 2 cryptocurrencies

The cryptocurrency market has started this week dominated by a bullish sentiment, with most cryptocurrencies accruing gains. This recent price action has attracted the interest of crypto whales, reaching short-term record highs.

In particular, an insight from Santiment shows Optimism (OP) and Chiliz (CHZ) with rising whale activity on May 20. However, despite a seemingly positive metric, Santiment‘s analyst, Brian Q, believes this could foreshadow volatility and trend reversals.

“With crypto rebounding big today, keep an eye on the rising whale activity among many altcoins like Optimism and Chiliz. Sudden high onchain activity among their largest traders typically will foreshadow major volatility and OP & CHZ reversals.”

– Brian Q, for Santiment

Notably, the chart shows 392 and 46 whale transaction counts for OP and CHZ, respectively. This category includes all transactions worth $100,000 or more registered on the Ethereum (ETH) and Optimism networks.

OP and CHZ $100k+ whale transactions. Source: Santiment / Sanbase Pro

How does whale activity correlate to price?

Essentially, cryptocurrencies moving on the blockchain usually means one of these three things:

One, someone has purchased these amounts in a cryptocurrency exchange, withdrawing to a self-custody wallet. Two, Someone wants to sell these amounts and is depositing to an exchange for that intent. Or, three, someone is making a wallet-to-wallet transaction either for themselves or for someone else.

However, the first two are the most common activities— buying or selling, while withdrawing or depositing.

On that note, withdrawing activity is retroactive, meaning the whale has already bought the tokens and influenced their price. Meanwhile, if spotted in time, depositing can forecast further price impacts as the assets are yet to be sold.

Therefore, high whale activity could sometimes foreshadow volatility and reversals, although not guaranteed.

Optimism (OP) and Chiliz (CHZ) price analysis

As of this writing, OP was trading at $2.92 per token, up nearly 20% in a month, while CHZ was trading at $0.124, up 7.6% in the same period.

Optimism (OP) and Chiliz (CHZ) monthly price charts. Source: Finbold

Notably, Optimism is currently testing a price resistance in the monthly chart, while CHZ has broken out of resistance in the weekly chart and heading toward key zones in the higher time frame.

This suggests that, if Santiment’s analyst is right, these assets could experience increased volatility and likely retrace at any moment. Nevertheless, the market is unpredictable, and everything can happen in the short term for these cryptocurrencies.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in 70+ cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. eToro USA LLC does not offer CFDs, only real Crypto assets available. Don’t invest unless you’re prepared to lose all the money you invest.

Read Next:

Weekly Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts

Disclaimer: The information on this website is for general informational and educational purposes only and does not constitute financial, legal, tax, or investment advice. This site does not make any financial promotions, and all content is strictly informational. By using this site, you agree to our full disclaimer and terms of use. For more information, please read our complete Global Disclaimer.