Whales Accumulation: On-Chain Platform Flags Withdrawals of These Four Tokens

The on-chain analytical platform, “Lookonchain,” posted on X (Twitter) that certain fresh whale wallets have been accumulating four tokens – Maker (MKR), Aave (AAVE), Immutable (IMX), and Fetch.AI (FET).

The on-chain analytical tools can give the users a sneak peek into the whale activities. This is possible because blockchain is a public ledger technology that enables transaction transparency.

Withdrawals from centralized exchanges generally indicate that the person is unwilling to sell the tokens anytime soon. In most cases, people transfer crypto from centralized exchanges to self-custody solutions with the intention of holding them.

Whereas when people transfer their crypto from self-custody to centralized exchanges, they might sell the coins.

Centralized Exchange Supply of Tokens Decreases Amidst Whale Accumulation

AAVE

Lookonchain posted on X (Twitter) that 0x04e9 withdrew 47,096 AAVE tokens worth $4.7 million from Binance. Moreover, the Netflows data from IntoTheBlock also indicates that the holders have been withdrawing the tokens from centralized exchanges (CEXs).

IntoTheBlock explains Netflows:

“Netflows show the difference between tokens entering an exchange minus those leaving exchanges. “Aggregated Exchanges” refers to all supported exchanges. The change shows the net increase/decrease in exchanges’ holdings over the respective time.”

Hence, the screenshot below shows that in the past 30 days, the centralized exchanges’ balance has decreased by over 44,570 AAVE. Conversely, the balance on CEXs has increased by 22,620 AAVE in the past 24 hours.

Read more: 8 Best On-Chain Analysis Tools in 2023

AAVE Netflows Data. Source: IntoTheBlock

Along with AAVE, the 0x04e9 wallet has withdrawn 2,251 MKR tokens worth $3.18 million. This coincides with the Nansen data showing that smart money wallets tracked by the platform have acquired MKR tokens worth nearly $65,000 in the past 24 hours.

Nansen’s distribution graph shows that in 2023, the amount of MKR tokens held in centralized exchanges (CEXs) by the top five addresses has constantly declined.

Read more: A Comprehensive Guide on Tracking Smart Money in the Crypto Market

Three fresh wallets withdrew 2.57 million IMX tokens worth $6.33 million from Binance. Lookonchain believes that these wallets belong to the same person.

Moreover, the token’s balance on centralized exchanges has decreased by 3.69 million IMX in the past 24 hours.

A newly created wallet – 0x6e8c transferred 1.57 million FET tokens from Gate.io to self-custody. The FET tokens are worth over $1 million.

Previously, Nansen analyst told BeInCrypto that there has been increased accumulation of FET by the smart money wallets. Also, the distribution data shows that the balances of the top five FET addresses have gradually decreased on CEXs.

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