A crypto whale sold off 9.23 million GOAT tokens worth $7.13 million as the price reached its all-time high.
- GOAT’s Long/Short ratio stands at 0.928 at the time of writing, indicating strong bearish sentiment among traders. A combination of on-chain metrics and technical analysis indicates that bears are currently dominating the asset.
The popularity of Solana-based meme coins has resurfaced with the launch of Goatseus Maximus [GOAT]. This meme coin has attracted significant attention from crypto enthusiasts due to its impressive performance over the past few days.
Potential reason for GOAT price decline
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As this memecoin continues to rally, a crypto whale with an unrealized profit of over $9 million sold off their GOAT holdings.
On 24th October, when GOAT reached its all-time high, the whale seized the opportunity to offload their holdings, as reported by the blockchain transaction tracker Lookonchain.
Source: X
According to data, the whale offloaded 9.23 million of GOAT tokens worth $7.13 million. The whale initially spent nearly $7.5 million to buy 22.48 million GOAT meme coins at an average price of $0.334.
This might be the reason behind GOAT’s recent price decline. At press time, GOAT was trading near $0.632 and has experienced a price decline of over 22% in the past 24 hours. ‘
During the same period, its trading volume jumped by 34%, indicating heightened participation from traders and investors. This growth in trading volume is a positive sign for GOAT holders, as it shows continued enthusiasm despite the notable sell-off.
GOAT technical analysis and key-level
According to AMBCrypto’s technical analysis, GOAT appears bearish as it has formed a bearish head-and-shoulder price action pattern in the four-hour time frame.
In trading and investing, this pattern is often seen as a sell-off signal.
Source: Trading View
Based on the price action, if GOAT breaches the $0.60 neckline and closes a four-hour candle below it, there is a strong possibility it could decline by 16%, reaching the $0.51 level in the coming days.
Bearish on-chain metrics
GOAT’s negative outlook is further supported by on-chain metrics. According to the on-chain analytics firm Coinglass, GOAT’s Long/Short ratio stands at 0.928 at the time of writing, indicating strong bearish sentiment among traders.
Source: Coinglass
Additionally, its open interest has skyrocketed by 99% over the past 24 hours and by 16% over the past four hours. This rising open interest indicates strong participation and a buildup of more positions compared to the previous day.
A combination of rising open interest and a Long/Short ratio below 1 is bearish, indicating that bears are currently dominating the asset.
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