Useless Coin's price continues its strong rally, reaching a record high of $0.25 despite the broader crypto market retreat. However, signs of potential reversal are emerging.
Useless Coin's Surge Amid Market Decline
Useless Coin, a meme cryptocurrency based on Solana, surged to $0.25, up nearly 1000% from its May low. This jump has pushed its market capitalization to $240 million. The rally comes amid a broader decline in the crypto market, catching the attention of both retail traders and whales.
Decrease in Holdings Among Large Investors
Data from Nansen indicates that smart money investors have significantly trimmed their holdings, decreasing from 24 million USELESS tokens to 11.4 million since June 4. Public figures have similarly reduced their assets to 32.4 million tokens from 70.96 million in June. Whale activity also shows a decline, down from 433 million tokens to 389 million.
Price Trend Analysis of Useless Coin
The eight-hour chart reveals that Useless Coin has been in a sustained uptrend. It is now trading well above its 50-period moving average, increasing the risk of reversion. The Relative Strength Index (RSI) indicates a bearish divergence, suggesting that a reversal may be likely as selling intensifies.
Despite the significant rise of Useless Coin, the signs of a potential reversal and decreased activity among large investors indicate possible risks ahead. The next key level to watch will be $0.10.
