With most eyes open Bitcoin and Ether, It’s almost surprising, if not shocking, to see an Alt-like one THETA recorded the highest weekly profits. In fact, at the time of writing, the altcoin had the highest weekly gains of 32.1% among the top 20.
However, this is not the first time THETA has surprised the market. In fact, in June the ecosystem saw some exciting price hikes before its own Mainnet 3.0 launch. This time it is no different, because THETA recorded growth of 72% from July 19 to July 29.
A massive correction
THETA’s price posted its best weekly gains since March 10, when the altcoin exploded from the 78.6% Fibonacci retracement. He also held the strategically important 50-week Simple Moving Average (SMA). While the $ 6.35 resistance level for the Alt was tested during the price rally, it could not be flipped.
Nonetheless, crypto’s price action bridged the gap between lower lows after its massive correction pulled the old’s value to the $ 3.52 cycle low. At the time of going to press, THETA was up 63.74% from its cycle low.
What do the metrics say?
Notably, the Relative Strength Index (RSI) for THETA touched the oversold area for the first time since April 16. Trading volume for the altcoin, which was low for most of the month, also saw a decent increase.
On the price front, most indicators shared a bullish outlook. However, a look at crypto’s on-chain metrics painted a different picture.
In fact, the scenario for THETA was rather neutral, if not negative. The altcoin ecosystem has been quite heated in the past few months. However, its price took a roller coaster ride after hitting lower lows and lower highs during that period.
Disappointing social volume
At the time of going to press, THETA was still 61.55% lower than its ATH three months ago. Apart from that, the social volumes for THETA also showed a very neutral market sentiment. Usually such price rallies are characterized by higher social volumes, which was not the case with the altcoin.
The 50% price gains noted by the alternative are said to be partly due to the introduction of singer Katy Perry’s NFT collection in the THETA network and her announcement of an investment in Theta Labs.
Do whales make money?
Additionally, another worrying metric is the slow decline in the percentage of total stablecoin supply held by whales to over $ 5 million. Even at a high, the indicator hit lows, recording a value of 49 on July 28, which was as low as its level at the end of May. Ergo it seems that the whales make money at this high price.
On the other hand, however, development activity was at an all-time high on July 27th. Unfortunately, at the time of writing, it was seeing a downtrend as the price corrected.
While THETA posted the best gains of any top alts, the metrics seemed to suggest that once the price of Bitcoin slows, it will be difficult for the alto to hold these prices. In addition, THETA did not climb above the all-important $ 7 mark, a level that would have sparked a long-term rebound.