VIRTUAL Crashes 12% Overnight—Is the Hype Finally Over?
TL;DR
VIRTUAL token dropped 12% in the last 24 hours, but Smart Money wallets have maintained their positions, showing long-term confidence.
Despite the correction, VIRTUAL has surged 193% in the last 30 days.
Traders are closely watching whether the price will break above $2 or retreat to the $1.19 support.
In recent hours, Virtuals Protocol (VIRTUAL) has surprised the market with a 12.33% drop, leaving its current price at $1.39 and reducing its market cap to $907.82 million. This pullback has raised questions among skeptics who claim that the hype might be fading. However, such corrections are not necessarily a sign of weakness but rather a natural opportunity for consolidation in a market that has surged over 190% in the last month. The dip, while significant, has not cast doubt on the potential of the protocol, which remains one of the most promising within the altcoin projects.
Smart Money Keeps Accumulating While the Market Retraces
On-chain data reveals that Smart Money wallets—the wallets known for their strategic moves—have increased their holdings in VIRTUAL by 14.4% since May 2, rising from 16.49 million to 18.54 million tokens. This behavior contrasts with the general fear that often accompanies a 12% correction in such a short time. Instead of selling, these sophisticated investors have held their positions, which could be interpreted as an optimistic bet on a future rebound. For many analysts in the crypto ecosystem, these types of signals are far more relevant than the emotional reactions of retail investors, who tend to follow price fluctuations more reactively.
VIRTUAL Struggles Against Key $1.53 Resistance
The token is currently facing a psychological and technical barrier around $1.53, with the goal of reaching the coveted $2. However, indicators like the “BBTrend” (Bollinger Band Trend) have shown a sharp drop: just two days ago it was at 31.91, and now it sits at 6.76, signaling that the upward momentum is losing strength. Although it is still in positive territory, this cooling off could signal a phase of consolidation or, in the worst-case scenario, a return to the $1.19 support level. But in crypto markets, where recoveries can be swift and emotions play a huge role, many investors view these pauses as an ideal moment to accumulate before the next wave. For those who believe in VIRTUAL’s disruptive potential, the hype is far from dead, it is merely taking a breather.
Filed under: News - @ May 7, 2025 12:25 pm