The price of Kaspa has been moving sideways for quite some time now, and it’s something that all KAS enthusiasts need to come to terms with, whether they like it or not.
In the past 30 days, Kaspa has seen a 30% decline in value, now trading within the $0.10-$0.12 range. A well-known analyst, “Csm19XD,” has provided insights into why the price of Kaspa is currently being manipulated.
Understanding the Manipulation Pattern
Price charts indicate a steady downtrend in KAS prices during the latter half of 2024. What stands out is the fact that open interest remains high, even increasing at times as the price drops. Typically, when open interest is high in a declining market, it suggests that either more traders are betting on further price decreases, or long-term holders are accumulating more to lower their average entry price.
Kaspa data reveals something intriguing — there are more long positions than short ones, even as the price continues to drop. This suggests that while regular traders are buying in hopes of a price rebound, there may be other forces at play.
Read also: Can Kaspa (KAS) Still Reach $10 This Bull Run?
The Whale Strategy Unveiled
On October 25th, a significant $800,000 worth of long positions were liquidated across Binance, ByBit, and Huobi. This wasn’t a random market fluctuation — it coincided with a 35% drop in open interest, indicating that many traders were forced out of their positions.
Source: captainaltcoin.com