TOWNS Crypto Assets fell by 50%! The selling pressure from Whales and the withdrawal of retail investors may trigger even greater losses.

TOWNS Crypto Assets have recently experienced a heavy fall, with the price plummeting from 0.088 USD to 0.035 USD, a decline of as much as 50.79%. The trigger for this crash came from Whales massively transferring Tokens to exchanges, causing panic in the market, and retail investors also rushed to sell. The market capitalization instantly shrank from 163 million USD to 86.3 million USD, and TOWNS is facing greater downtrend risks. This article will combine on-chain data and futures indicators to deeply analyze the current predicament of TOWNS and the risks in the future market.

Whales are dumping heavily, market selling pressure is intensifying sharply

According to Nansen data, after the top holders of TOWNS increased their holdings by 3.13 billion Tokens on August 4, they immediately cashed out en masse at the price peak, causing the value of the Tokens to plummet rapidly. This wave of Whale dumping became the direct driving force behind the collapse of TOWNS and led to a sharp decline in market sentiment.

Retail investors panic and withdraw, dumping volume exceeds 2 billion coins for two consecutive days

As the price of TOWNS declines, retail investors are also choosing to stop-loss. On August 5th and 6th, the dumping volume of TOWNS on major exchanges exceeded 2 billion coins, indicating a lack of long-term confidence in the market and accelerating capital outflow. This panic selling further intensified the downward pressure on prices.

Futures market turns bearish, open interest and long-short ratio decline simultaneously

Futures market data shows that TOWNS' open interest has decreased from 12.6 million USD to 10.93 million USD, with the long-short ratio falling to 0.88 and 53% of positions being short. Market sentiment has clearly shifted to bearish, with insufficient momentum for a short-term rebound.

TOWNS Future Risks and Key Price Levels

Under the dual dumping pressure from whales and retail investors, TOWNS still faces downside risks in the short term. If the selling pressure continues, the price may fall to 0.034 USD. If new buying interest emerges in the market, it is expected to rebound to 0.046 USD, but the overall trend remains bearish.

Conclusion

The TOWNS Crypto Assets big dump event highlights market volatility and capital sensitivity. Whale dumping and retail investor withdrawals overlap, putting TOWNS at greater risk of loss. Investors should closely monitor market dynamics and capital flows, carefully assess risks, and seize turning opportunities.