Lido Dao Token
Lido, which is currently the most popular liquid sticking option for ethereum. There's nearly $8 billion in eve steak there. By all staked eth, it's roughly one-third. So it's a massive number, and a massive proportion if there was a proxy for all the locked staked eve waiting for withdrawals.To put it bluntly, not everyone succeeds in the cryptocurrency market. But that is the truth because most traders continue to look for technical indicators, support and resistance levels, and moving averages.
However, they are unable to book large profits because they frequently overlook one of the simplest yet most powerful on-chain indicators, whale movements. Simply following the smart money. If you want to gain an advantage over the average trader, you must keep a close eye on what the whales are doing. Their behavior, their feeding rituals, and so on, and in that spirit, in this article, we'll look at four hot alt coins that whales, in particular, are massively accumulating.
Lido, by the way, also hosts nodes and other critical infrastructure, making it a very good web. 3 infrastructure plays, just to make sure we don't confuse anyone. The token that the whales are currently purchasing is not Lido staked ether, by the way. Is instead, and I repeat, the whales are accumulating the Lido Tao token because Lido operates as a Dao.
As can be seen here. The Lido Dao ticker LDO is up 23.4% on the day, which is not bad. However, this is not a wager on how the liquid staking derivative will perform. It's a platform wager. And after falling to a low of 90 cents in November.
Lido has been steadily rising, and it's now up more than 100% from that point. Its mark of $2.59 over the last few months, perhaps six weeks in particular, has been excellent in terms of upward price trajectory. Even so, it's still down 66% from its all-time high of $7.30 in August of 2021.
Rocket Pool
Rocket pool is a platform for liquid staking. They are a smaller company than Lido, but they have nearly $1 billion in Ethereum staked on their platform. So it's not all bad. And, like Lido, they provide the infrastructure so that you can stake your own 32 ether and then run a node there, or the more popular option is that you delegate to them. The liquid staking token that you get here is our eve, which is not as widely available as STE from Lido.
To earn even more interest, you can use it in a variety of places, including yield protocol and a variety of pools and farms. Kendall currently has a fantastic pool of RE and WE, which means the risk of temporary loss is almost nil. It is currently paying a boosted return of 41%, and it is just one of a few good deals using our ethics as collateral. But, once again, like Lido, and I know I sound like a broken record. We're not buying it. They are purchasing the platform token, which has the symbol RPL.
So, once again, whales are accumulating rocket pool itself ticker RPL. Looking at the last six months of price performance, rocket is up more than twice that amount to $42.26 after hitting a bear market low of $13.32 in early November. So we're looking at a 50% return from here. We'll get rocket back above its all-time high of $59 from the last bow market, assuming the trend continues and we believe it will.
FRAX
FRAX also has one of the most ambitious stablecoin and crypto projects, with the goal of combining all of the best aspects of algorithmic stable coins with the security of collateral backing. By the way, its stable coin is called FRAX. It's also the only coin on this list that isn't involved with liquid staking, which I understand can be confusing, but many people like the mint burn mechanism and potential decentralization of algo stable coins.
However, as we saw with USDT, most of them have significant design flaws, making it difficult to avoid a bank run. Like what happened with Luna, sell off. FRAX also backs its coin with USDC; you can see how much USDC is behind the coin and how decentralized it is right now on the frax dashboard; as of today, it's backed 92% by collateral and using the minting feature by burning FRAX as algorithmic coins.
Do we see that it is currently 23% decentralized, as USDT was with Luna? To create the frax stablecoin, either mint or burn FRAX. And, based on the last six months, it is these coin fxs that whales are purchasing. FRAX has had some excellent performance, but it is still down 69% from its all-time high of $42.80 in January of last year, and the current price of francs share ticker FRAX is $13.19.
The whales are clearly bullish on this stable coin because in order to create more fracs stable coin, FRAX must be burned. That is, you are removing the supply of FRAX. As a result, whales are right to believe that burning will increase the value of the token by reducing the supply that they have.
Stake Wise
In this case, the liquid token is SE.2. It has the fewest investment options of the three liquid tokens, but there are still some good ones. Including two pools from stake wise. One has almost no risk of impermanent loss. It's also an eve SE.2 pool on uniswap that pays a healthy 12.71%. That is a substantial sum. Another one involves an eve derivative, token RE.2, and the pool is RE.2 SE.2, and it pays 12.68% on UNI swap.
These are excellent returns for the risk you are taking because both get their value from the underlying ethereum and, similarly to Lido and Rocket. The whales are buying stake wise's platform token that's SWISE The whales are not purchasing the SE to liquidate the token. SWISE, which is up nearly 20 points, is being accumulated by whales.
With a market value of around 37 million dollars, this is the smallest of the liquids taking platforms, but it has a lot of room to grow. And if you believe liquid staking and delegating eve staking will continue to grow at the same rate as I do, this is probably a good bet. SWISE's price performance has recently been outstanding. We're taking a closer look at the 24-hour chart and zooming out a little more.
You can see that it's had a fantastic couple of weeks when you zoom out to 180 days. Regardless of how impressive the current performance is, it should be noted that this project is down about 48% from its all-time high in October 2021. That's when it got to 35 cents. Again, we are currently at around 18.5 cents. So it's a fantastic project with plenty of potential for new all-time highs.
