The cryptocurrency market for Kaspa (KAS) is experiencing short-term price fluctuations and various reactions from investors.
Short-Term Price Fluctuations of Kaspa (KAS)
The price of Kaspa faced some short-term swings after being rejected at the $0.12 mark. Currently, the price has returned to the $0.10 level, which has unearthed concerns among certain short-term holders. According to data provided by Kaspa Daily, this change correlates with some long-term holders beginning to realize their assets, subsequently influencing the overall sentiment among traders.
Long-Term Holders Remain Confident
Despite short-term fluctuations, the number of wallets holding KAS for over two years has reached a record 13.5% of the total supply. This group, known as ‘diamond hands’, demonstrates confidence and continues to accumulate assets regardless of market volatility. The share of inactive wallets has been steadily increasing since March when it was below 9%.
Market Structure and Investor Behavior
The rejection at the $0.12 level and reversal back to $0.10 has altered short-term momentum. However, data from long-term investors and derivatives traders indicates an overall optimistic trend regarding Kaspa. The support of positive funding rates suggests that many traders still hope for an increase. The division between short-term and long-term holders reflects different investment strategies.
The current situation in the Kaspa market illustrates a complex dynamic between short-term fluctuations and the resilience of long-term investors. Monitoring the variations in trader behavior provides clearer insights into the potential future of this asset.
