A cryptocurrency whale created a new wallet and started trading on Binance to invest in one of the popular altcoin projects of recent times.
According to data provided by on-chain analytics platform Lookonchain, a newly opened wallet withdrew 84 million PENGU from Binance in the morning hours of January 4. This transaction corresponds to a purchase worth approximately $3.13 million.
Large volume withdrawals are often closely monitored by investors and market observers. Such large outflows have the potential to affect the supply-demand dynamics of the market.
PENGU has recently started to stand out as an altcoin that has gained popularity. Distributed via airdrop by the Pudgy Penguins NFT project, PENGU initially faced intense selling pressure, but over time it has recovered and shown a tendency to rise again.
In addition, the large purchase made by the whale by opening a new wallet has strengthened expectations that the project will gain value in the long term.
Experts say large transfers should usually be moved to cold storage for safekeeping or as part of specific market strategies.
PENGU, which has gained 4% in the last 24 hours, is trading at $0.03738 at the time of writing.