EigenLayer (EIGEN) has declined over 22% in the past week and briefly reached a new all-time low around 01:00 Monday, Eastern Time (ET). The token is currently trading at $2.8 after recovering 4.9% from its all-time low of $2.66 in the last four hours.
Although the EigenLayer team recently launched their native token, which has remained relatively stable since the EIGEN token has become one of the weakest-performing digital assets in the cryptocurrency market. EIGEN achieved an all-time high of $4.53 on October 1st but has since fallen by approximately 38.2%.
EigenLayer Weekly Price Charts | CoinMarketCap
EigenLayer Gains Interest Despite Falling Prices
Despite the declining prices in recent weeks, investors seem to be taking advantage of the drop to gather more EigenLayer tokens in anticipation of potential upcoming rallies.
Onchain data platform Spot On Chain indicates that a trader identified as “boby1337.eth” has acquired 8.16 million $EIGEN, valued at over $22 million, in the last three days despite the notable decrease in its price.
Smart trader boby1337.eth accumulated 8.16M $EIGEN ($22M) over the past three days, despite a 15% drop in EIGEN’s price.
— Spot On Chain (@spotonchain) October 28, 2024
He acquired these tokens through 4 transactions from Binance and staked them all to EigenLayer.
The latest withdrawal occurred just 2 hours ago.
Follow… pic.twitter.com/p2xICTSDr8
Consequently, if the coin rebounds to its previous all-time high of $4.53, the trader’s $22 million investment could grow to as much as $37 million.
Moreover, the Total Value Locked (TVL) in EigenLayer has been on the rise since early 2024. One year ago, in October 2023, the TVL was approximately $220 million. However, a year later, data from DeFiLlama shows a remarkable TVL of $10.603 billion, indicating a significant increase in interest in the project throughout this year. This rise followed a peak TVL of over $20 billion in early June.
Read more: EigenLayer Price Crashed After the Airdrop: Buy the Dip?
Additionally, development activity on the EigenLayer platform displays positive trends. DeFiLlama data further shows that weekly commits were 442, monthly commits totaled 1716, weekly developers numbered 36, and monthly developers reached 90 as of October 28th.
About EIGEN
EigenLayer is a protocol functioning on the Ethereum blockchain aimed at implementing a concept known as restaking.
The EIGEN token plays a crucial role within the ecosystem, enabling users to utilize it for various functions, including staking for intersubjective faults on the EigenLayer platform, conducting validation tasks across multiple Actively Validated Services (AVS), and incentivizing or penalizing operators based on their performance.
