EigenLayer price continues to skyrocket, defying the odds and leading the top gainer chart on Wednesday. Eigen’s price crossed the critical $4 mark, up nearly 19% in 24 hours.
After hitting a high of $4.13, the highest it’s been this week, the token is currently seeing a minor retracement. At press time, it was trading at $3.98.
Last night, following EigenLayer’s token unlock event, where 9.93 million new Eigen tokens were unlocked, Justin Sun received 3.62 million Eigen tokens worth $14 million.
Reportedly, the crypto entrepreneur and Tron co-founder wasted no time and deposited all his newly acquired Eigen tokens on Binance at $3.89. Sun had also deposited Eigen tokens earlier on October 1st after EigenLayer’s listing. Combined with yesterday’s deposit, the crypto entrepreneur now holds over 8 million Eigen tokens worth $34 million.
Will EigenLayer Price Hit $5 This Week?
EigenLayer was listed on October 1st, and the token has since shed value despite a strong rebound this week. At launch, the token was trading around $4.30.
Last week, following news of a security breach in which Eigen tokens worth $5.7 million were lost, its price slumped to $3.10. However, since the possibility of insider involvement in what was perceived as a whale token dump was ruled out, $Eigen has posted consistent double-digit percentage gains on the daily chart.
On Wednesday, the token crossed the key $4 mark. The likely trigger for the fresh rally is the successful token unlock event last night. Though the RSI is neutral, the community sentiment remains bullish. Additionally, trading volume, according to data from CoinMarketCap, has spiked over 83% in the last 24 hours.
It shows that investors are confident, and the buying pressure has pushed the token price into a zone from where it could challenge the price at which it initially started trading. The key level to watch for would be $4.30. If EigenLayer’s price moves past that point, it could climb further towards the $5 target.
Additionally, the latest from Lookonchain claims that there are two fresh wallets that bought 1.63M Eigen tokens.
The amount clearly shows a whale activity which could have acted as a catalyst for other investors. Notably, the amount of $Eigen purchased from these two wallets as reported by Lookonchain is similar to what was lost in the security breach on Friday last week.
Source: Trading View
All said, the buying pressure seems to have subsided, as evidenced by the minor retracement in the last four hours. As such, the token’s price could come under correction, but the possibility of $Eigen hitting the $4.50 mark cannot be ruled out as long as it holds above the $3.80 price point.
