HIVE trading volume at all time high

After almost a year of pulling back to 10 cents, the price of HIVE finally rose in early 2021, but has been met by an unprecedented volume of sudden selling, hammering the price down each time it breaks through 0.3 USD.

I recently reported that HIVE's chart has become bullish and weird, noting the price action was quite unusual.

Since then, I've been paying more attention to the fundamentals, and indeed there are many things happening on the blockchain right now, including several projects that are having local impacts on token prices. For example, LeoFinance has announced more expansions in the realm of DeFi, which popped up its price in recent days, and is impacting demand for HIVE.

But what was more interesting was looking at the volume (amount and timing of trading action).

2 weeks ago, trading volume spiked to DOUBLE its previous all-time-high.

A few days ago, it spiked again, this time to QUADRUPLE that previous ath.

I checked, and this is a HIVE thing - STEEM and the other cryptos aren't experiencing this sudden jump in volume. So I zoomed in for more detail. Is this volume responsible for the recent price increases?

Turns out, the volume coincides perfectly with sudden DROPS in price. Price increases were on relatively low volume, and were then followed by jumps in volume and a drop in price. When the price has cooled back below 0.3 USD, the selling stops, allowing the price to resume its bullish grind.

It happened not once, but several times. This is clearly selling volume. If the data are right, somebody or something is dumping unprecedented amounts of HIVE into the market each time the chart breaches 30 cents.

I'm going to leave the "why?" for someone else to write about. What is clear is that volume has hit a level never before seen, that the price chart is looking bullish and weird, and massive selling is blocking HIVE's advance.

Temporarily, at least.

DRutter

Posted Using LeoFinance ^Beta