A major whale trade of the $HOLO token has caused a lot of hype following the report released by blockchain analytics platform Lookonchain of a very large profit-taking action. The recipient of 10.24 million tokens worth around 4.71 million dollars is wallet address 0x3723 which is thought to belong to a KOL investor.
Within a short period of time, the investor sold 1.52 million $HOLO to buy 1,013 $BNB (approximately, $915,000), which allowed them to gain considerable profits and retain most of their stocks.
Profits From Early Entry at KOL Round
Lookonchain explains that the investor had gained his initial ownership of the $HOLO tokens which cost him merely $0.088 per token in a KOL round. This early entry gave an unbelievable payoff at the current market valuation.
The investor still has 8.72 million $HOLO (valued at approximately $4 million) and the total profits (realized and not) will be more than 4 million dollars, or put another way, 444 percent returns in total.
Trading Activity Revealed Through On-Chain Data
According to the on-chain information, the whale made a series of transactions using Binance DEX Router. Numerous swaps were made whereby 7.6 to 15.8 BNB was swapped in many tranches with a portion of $HOLO. These small sales enabled the investor to sell a large size without any substantial slippage in the market price.
Although the whale has sold a significant stake, the company still retains a significant share and this could be an indication of confidence in higher returns in the future.
Community Reactions and Market Sentiment
The crypto community has been keeping a close watch on the whales movements, with some participants debating about the possible effect on the price movement of $HOLO. Massive profit making by early investors can create questions regarding the stability of the market and pressure for sell-offs.Â
Nevertheless, this behaviour of the whale to keep most of its tokens has been viewed by certain people as an indicator of long-term faith in the project. Others warn to expect further sales to burden short-term momentum.
What It Means for $HOLO Investors
The 444% profit of the whale reveals the significance of the timeliness of access to token distribution rounds and how different it is to the investors who come in at discounted levels. To retail investors, it is a reminder and a lesson of the risk of having large holders who can affect the liquidity of the crypto market.Â
Analysts think the current retention of more than 4 million dollars worth of $HOLO might serve to provide a stabilizing effect, which is highly subject to the markets and developments of the project over the next few weeks.
