A whale that deposited 4 million LQTY tokens on Binance at $1,029 per token an hour ago would face a huge loss of $1.38 million, or 25%, if it decides to sell them now. Whale collected these LQTY tokens from Binance on July 15 and 14, 25 days ago, at an average of $1.37 per token and spent a total of $5.49 million.
LQTY is known as the management token of Liquity, a decentralized borrowing protocol that allows users to withdraw interest-free loans in exchange for Ethereum as collateral. LQTY holders can stake their tokens to get a share of the system's revenue and participate in management decisions.
According to CoinGecko, the whale's deposit triggered a 3.67% price drop for LQTY, which is currently trading at $0.99 per token. The whale's wallet address shows that it received its first 0.5 ETH from Binance on July 14 and has yet to trade with any tokens other than LQTY.
LQTY price is trading at 98.39% lower at the time of this writing, with a massive loss from the $62.97 level it reached on November 16, 2021.
*Not investment advice.