Crypto Trader Recently Shared Why He Is Bullish on dYdX (DYDX)

  • His tweet stated that big players have bought DYDX despite the current bearish sentiment.
  • Another reason Ali is bullish on the altcoin is because of the decreased DYDX supply on exchanges.

Crypto trader Ali (@ali_charts) tweeted a thread yesterday, wherein he shared some reasons why he is bullish on dYdX (DYDX). According to the thread, the market sentiment for DYDX appears bearish. However, Ali stated that traders should not count it out just yet, as savvy investors often capitalize on negative sentiment to find hidden gems.

Weighted sentiment for DYDX
Weighted sentiment for DYDX (Source: Santiment)

The trader also added that crypto whales have purchased more than 10 million DYDX tokens in just the last 2 weeks. It is estimated that the combined U.S. dollar value of the tokens bought by these whales is around $24 million. According to Ali, this is a sign that big players in the crypto space see potential in DYDX despite the bearish sentiment.

Lastly, approximately 7.86 million DYDX tokens have been withdrawn from known crypto exchange wallets in the past 3 weeks, the tweet added. As a result, the number of DYDX tokens available to sell is decreasing.

DYDX supply on exchanges
DYDX supply on exchanges (Source: Santiment)

At press time, the altcoin’s price is trading at $2.88 following a 6.38% increase over the last 24 hours according to CoinMarketCap. The altcoin was also able to outperform the crypto market leaders Bitcoin (BTC) and Ethereum (ETH). Currently, DYDX is up 7.31% against BTC and 6.58% against ETH.

The daily trading volume for DYDX is estimated to be $133,825,546 at press time. This is a 39.68% increase in DYDX’s trading volume in the past 24 hours. Furthermore, the 24-hour increase in DYDX’s price has brought the altcoin’s market cap up to $452,367,661. This ranks it as the 94th biggest crypto project in terms of market cap.

Disclaimer: The views and opinions, as well as all the information shared in this price analysis, are published in good faith. Readers must do their own research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be held liable for any direct or indirect damage or loss.

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