-
The Artificial Superintelligence Alliance token (FET) experiences a remarkable surge as supply on exchanges dwindles, suggesting a potential price leap ahead.
-
Despite heavy selling from large investors, a resurgence of interest from smaller traders has buoyed the token’s price.
-
“Even as wholesalers liquidate their holdings, retail traders are moving back into the market,” noted a recent report from COINOTAG.
FET’s recent rally, driven by declining supply and renewed trader interest, signals promising trends in the AI-token market.
Large holders sell, spot interest returns, supply drops
The market dynamics for FET shifted notably in the past 24 hours. As the token rallied, large investors began to reduce their exposure significantly. Notably, this group sold 17.3 million FET, equivalent to $11.88 million at a market price of $0.687.
Moreover, reports from Coinglass indicated spot traders offloaded $2.6 million worth of FET, culminating in total sales of $14.48 million.
Source: IntoTheBlock
Typically, such a wave of sell-offs might unsettle investors, yet FET’s price remained resilient.
Supply shrinks, counteracting sell-offs
Interestingly, the market displayed surprising strength against the anticipated downturn caused by large holders’ liquidation. COINOTAG’s analysis revealed that the rally was notably supported by a drastic reduction in FET’s supply.
At the time of reporting, the circulating supply of the AI token had declined by 10 million tokens, roughly valued at $6.87 million.
According to IntoTheBlock, this represents tokens that have been effectively removed from the public market.
Source: IntoTheBlock
This decline acted as a buffer, leading to renewed interest from market participants. Spot traders re-entered the market enthusiastically, purchasing $845,950 worth of FET during the same period.
If this trend persists—characterized by a declining supply combined with increasing retail demand—the AI token appears poised to navigate whale sell-offs successfully.
FET’s Market volume sees rapid growth
The current bullish trend for FET is supported by escalating market momentum, highlighted by a significant increase in trading volume. In the last 24 hours, trading volume surged by 122.06%, reaching $379.07 million. Historically, when price growth coincides with a volume uptick, it signals a solid trend.
Given these changes, FET seems likely to maintain its upward trajectory unless there’s a decline in either price or volume. Furthermore, a slowdown in large-holder selling would further bolster the asset’s growth potential.
Conclusion
In conclusion, as FET continues to rise amidst dwindling supply and increasing buyer interest, market observers will be keenly watching if this trend can sustain itself. With the combined forces of reduced sell-offs from large holders and a resurgence in retail engagement, the AI token’s outlook remains cautiously optimistic, enhancing its position within the cryptocurrency sector.
