The sharp decline of the altcoin named Mantra (OM), listed on Binance, has been talked about in the cryptocurrency market since yesterday.
While the reason for the decline in OM is wondered, Mantra CEO pointed out deliberate movements in a stock market for the decline.
On-chain analytics platform Glassnode has released a report on the OM drop. Accordingly, Glassnode said that the OM price drop was not caused by early investors but rather by a broader market sell-off.
Glassnode data indicated that prior to the price drop, large investors known as whales had dumped some of their OM tokens.
Glassnode on-chain data indicated that the sell-off was driven by retail panic and forced liquidations.
Whale sales created panic in the market and small investors joined in these sales, causing a serious depreciation in the OM price.
At this point, Glassnode stated that the share of wallets holding the largest 1 percent of the OM supply decreased from 96.4 percent to 95.6 percent, and that this sharp decline showed that larger owners were selling, and that those selling were not early investors from the beginning of the project.
Glassnode also added that there has been an increase in the number of transfers. An increase in the number of OM token transfers indicates increased activity on the network. This is a sign of panic selling as many holders rush to exit their positions.
*This is not investment advice.
