Whales Buy Plasma’s XPL Token After Launch
Whales are rapidly buying Plasma’s XPL token just one day after its launch. Plasma’s mainnet went live yesterday, enabling zero-fee USDT transfers through its PlasmaBFT system. The launch also included support from over 100 decentralized finance (DeFi) projects.
Blockchain analytics platform Lookonchain reported significant whale activity on XPL. Wallet ‘0x8393’ sold 249,999 HYPE tokens worth $10.5 million and bought 7.92 million XPL. Wallet ‘0xcc07’ deposited 6.27 million USDC on Hyperliquid to purchase 5.28 million XPL at $1.19 each.
Another wallet, ‘0xF555’, bought 5.7 million XPL at $1.05 after depositing 6 million USDC. Wallet ‘0x790c’ acquired 54.09 million XPL during the public sale at $0.05 each. This holding is now valued at $50.4 million, with an unrealized profit of $47.7 million.
According to CoinMarketCap, XPL is trading at $1.49, up over 60%, with a 24-hour trading volume of $2.23 billion.
Market Sentiment Shows Mixed Signals
Data from Coinglass reveals mixed sentiment around XPL. On Binance, the long-to-short ratio is 0.6915, while OKX shows 0.43. This suggests more traders expect a price decline.
However, among Binance’s top traders, the long-to-short ratio is 3.1431, indicating large players are betting on a price rise.
Volatility is high, with liquidations reaching $1.74 million in one hour, mostly from short positions. Liquidations increased to $8.7 million over four hours and $39.23 million in 12 hours. Total losses over 24 hours hit $55.69 million, split evenly between longs and shorts.
Plasma’s Ambitious Launch and Future Risks
Plasma launched its mainnet yesterday with over $2 billion in stablecoins locked, ranking it among the top 10 blockchains by liquidity. CEO Paul Faecks stated, “Stablecoins are Money 2.0,” emphasizing global access to the US dollar as a key goal.
Investor Simon Dedic warned of short-term risks, saying, “Public sale participants are up 17x here. Most will take profits, creating heavy sell pressure.”
Currently, whales show strong confidence in XPL. However, many early buyers hold large profits, raising concerns about potential sell-offs and price volatility.
