A large crypto investor has shifted a significant amount into decentralized trading platforms, catching the attention of analysts and traders.
Whale's Actions on Hyperliquid
The whale with address 0x4174 transferred $5.45 million in USDC to Hyperliquid, a decentralized perpetuals trading platform. According to blockchain data, the wallet opened aggressive long positions. The largest allocation was made to Ethereum, with $14.28 million placed at 20x leverage, followed by Bitcoin at $2.86 million with 40x leverage. Smaller amounts were allocated to altcoins such as HYPE, Chainlink, Aave, and Maker.
Liquidity Shift Analysis
Analyst Merlijn The Trader noted a technical signal on the USDT dominance chart, identifying a clear double top, which may indicate a liquidity reversal. He pointed out that once the key level breaks, capital typically exits stablecoins and rotates into riskier assets.
Outlook for Altcoins
Merlijn highlighted that a similar situation in the past led to altcoins delivering 10x returns for early participants. The analyst suggests that a comparable phase may currently be starting, with expectations for a significant rise in altcoin valuations as Ethereum and Bitcoin are heavily backed.
The whale's movement and analysts' insights point to a potential growth for altcoins. The situation requires further monitoring of the market in light of recent liquidity changes.
