Virtuals Protocol [VIRTUAL] – Will altcoin reach $6 amidst whale profit-taking?

Virtuals Protocol (VIRTUAL) recently experienced a price surge, witnessing a rise from approximately $2.95 to a peak of $3.22. This increase reflected a notable 10.57% upswing in just a single day, pushing its market cap to $3.22 billion.

Despite a 5.78% decline in daily trading volume to $290.57 million, the ratio of volume to market capitalization remained healthy at 9.05%, indicating strong trading activity.

This recent positive performance of the altcoin signifies investor confidence and hints at a robust market position for VIRTUAL, potentially influencing its future price movements.

VIRTUAL Price Analysis and Forecast

Upon analysis, VIRTUAL displayed a significant test of its all-time high (ATH) as it aimed to surpass its resistance levels. Initially reaching $2 and breaking through that barrier, the altcoin paved the way for further advancements, ultimately hitting an ATH of $3.33.

Following the subsequent pullback from these peaks, the price stabilized around $2, indicating a shift from resistance to support levels. This stabilization supported a bullish perspective, with VIRTUAL’s price pattern implying a possible rise towards the $6 mark.

Conversely, a drop below the consolidation range could lead to a retest of the mid-line or lower boundary of the Bollinger Bands, providing crucial support levels.

A breach below the lower Bollinger Band might trigger a short-term bearish trend within the broader upward trend.

Liquidation Heatmap and Whale Activities

The Liquidation Heatmap highlighted concentrated liquidation points at specific price levels that experienced significant price movements.

Of particular note was the concentration of liquidation leverage at $3.1074, with 453.32k in leverage at risk of liquidation if the price reaches that point.

This level represents a critical zone where price action has been concentrated, indicating heightened trading and potential pivot points for future price action.

Historically, prices have often gravitated towards these dense liquidation zones, potentially driven by traders seeking to capitalize on shifts in market sentiment.

If VIRTUAL continues to interact with these zones, it could lead to increased price fluctuations around these levels, illustrating supply and demand dynamics at crucial technical zones in the market.

A noteworthy activity involved a Virtuals Protocol whale exchanging 9.9 cbBTC for 1.913 million VIRTUAL, valued at approximately $896,000 at the time.

Subsequently, the whale executed a substantial sale, unloading 1.026 million VIRTUAL for $2.7 million, resulting in a profit of around $1.8 million.

The whale currently holds 887,000 VIRTUAL, valued at roughly $2.75 million, indicating anticipation of further uptrends while strategically securing profits along the way.

During this trading period, the whale accumulated a total profit of $4.56 million, achieving an impressive return at 5.1 times the initial investment.