During the previous week, Jasmycoin [JASMY] witnessed a substantial increase in transactions involving large investors known as whales.
Brianq, in a recent Santiment Insights publication, highlighted JASMY as one of the projects boasting a market capitalization exceeding $500 million.
Surge in whale activity and its repercussions
Significantly, Jasmycoin experienced a 616% surge in whale transactions, which are transactions valued at $1 million or more. This remarkable increase in whale activity could indicate either profit-taking or substantial accumulation, depending on how prices are moving.
Over the last five days, Jasmycoin has tested the $0.059 price levels and later retraced to the $0.032 support region.
Earlier this year, two potential support zones at $0.032 and $0.04 were identified based on price movements, with JASMY supporters successfully defending both during the recent downward movement.
The timing of the heightened whale activity suggests a combination of profit-taking near the peaks and accumulation around the $0.04 threshold.
Analysis of Jasmycoin’s daily chart by CryptoCrypto revealed a bullish market structure with the MFI indicator not showing any divergence yet.
Although trading volume was high in December, it has decreased during the retracement phase and would need to increase to sustain the upward momentum.
Profit realization during the upward trend
November and December witnessed a surge in daily active addresses as JASMY surpassed previous six-month highs, a common occurrence as rising prices attract more attention from traders.
Moreover, there was a noticeable decline in the mean coin age, particularly over the past six weeks, which is typical during strong rallies as investors seize profits.
The recent spikes in whale transactions are noteworthy, especially during periods when JASMY achieved local highs.
Notably, there was a resurgence in whale transactions on December 9th when Jasmycoin was valued close to the $0.032 and $0.04 support levels.
Analysis of the supply distribution hinted at a pattern of distribution leading up to the end of November, with various groups of holders acquiring Jasmycoin at different intervals over the last ten days.
Specifically, accumulation in the 10k-10M band commenced on November 29th.
Conversely, wallets holding over 10 million coins were selling until December 8th but transitioned to increasing their holdings starting Monday.
Despite the surge in whale activity, Jasmycoin’s overall outlook remains strongly bullish. A consolidation phase may be expected before any further upward movement.