The price of decentralized oracle network Tellor’s TRB token fell over 30% in the last 24 hours, plunging from around $140 to $99. This steep decline appears to be driven by two large TRB deposits to crypto exchange Binance reported on Twitter by user Spot On Chain.
According to the reports, two whales with addresses 0xc75 and 0x8fe, likely the same person, deposited 85,018 TRB worth $9 million to Binance. At the time, whale 0x75c still held 63,415 TRB worth $5.88 million.
Around 25 minutes later, another whale 0x1d3 deposited 72,240 TRB worth $6.42 million to Binance as well. This whale realized a small profit of $28,000 if the TRB was sold then. However, their profit was previously around $3.72 million before the major price dump.
In total, over 150,000 TRB worth $15.4 million was deposited to Binance within 45 minutes. This large sell pressure from whales likely triggered the steep 30% decline in the TRB price.
Deposits to exchanges are generally seen as a bearish signal, as it suggests the TRB may be sold on the open market. The timing of these large transfers aligns with the start of TRB’s plunge, lending credence to the idea that the whales cashing out drove the price drop.
However, it remains unclear if the TRB has actually been sold yet. The deposits could be a precursor to more selling pressure, or the whales may be planning to hold their remaining balances. Nevertheless, the market has reacted bearishly so far.
Tellor’s price collapse underscores the risks of holding small cap cryptocurrencies with lower liquidity. Sharp moves can be triggered by just a few major holders’ actions. Traders should be cautious when whales begin transferring significant balances to exchanges, as it often foreshadows increased volatility.
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