Trust Wallet Token surges 12% despite active users falling
Trust Wallet Token (TWT) started October at around $0.77 and remains bullish. With the latest rally, however, the price-daily active addresses (DAA) divergence suggests that the upward momentum is waning.
TWT is the top gainer among the top 100 cryptocurrencies, rising 12% on the last day. The asset is trading at $0.90 with a total market cap of roughly $377 million at the time of writing.
Trust Wallet Token’s recent rally pushed the average daily trading volume of the last day by 1,250% to almost $190 million.
According to data provided by the market intelligence platform Santiment, there have been no whale transactions with over $100,000 worth of TWT since Aug. 29. This suggests that holders might not move the assets into self-custody, indicating high volatility.
Moreover, Santiment data shows that Trust Wallet Token’s active wallets have been at their lowest since Aug. 22. In simple terms, investors have been buying TWT on exchanges and storing until a favorable price target is reached. Moreover, TWT trading volume is directly from exchanges.
According to the analytics platform, TWT’s price DAA divergence just dropped to negative 109%. The indicator relates the token’s price and the number of active addresses.
While the DAA divergence indicates a strong sell signal, per Santiment, TWT’s social volume is up 180% in the last two days.
