Suspected Ledger Bull Trap Amidst 25% Price Rise

Power Ledger (POWR) price is up 25% from last week, after spending between $0.13 and $0.14 in the previous month. Data across the chain indicates that retail investors are starting to participate in the rally. But is it a bull trap?

POWR is the native token of Power Ledger, a technology company that builds software for “decentralized sustainable energy markets.” The POWR token caught the attention of investors after it briefly hit a 2023 peak of $0.23 on Thursday.

Whale investors are driving the price hike

Heavy trading activity among Power Ledger whale investors appears to be the primary driver behind the sustained price rally. According to the data you have collected IntoTheBlockThe whales have increased their trading activity since June 10.

As shown below, between June 10th to June 14th, the Power Ledger moved from zero to 17th large transactions.

Power Ledger (POWR) Bull Trap | Whale Transactions, July 2023, Source: IntoTheBlock

large transactions It measures the level of trading activity of whales by aggregating the daily number of trades over $100,000. Due to their influence and financial strength, increased whale trading activity often leads to an upward trend in prices.

But be careful, as we saw above, the last time Power Ledger attracted more than one big deal was on June 27th. Without any major product development or historical community announcement to validate renewed investor interest, sustained price hikes can develop into a bull trap.

Retail investors buy into rising general ledger prices

Moreover, the on-chain data reveals that retail investors, too, have begun to approach POWR’s continued price hike. According to Santiment, the number Daily active headlines On the Power Ledger network, it has increased significantly this week.

The graph below shows that before the price hike, the Power Ledger attracted 43 active addresses only on July 9th. But by the end of July 13, that number had increased by 800% to 387 active users.

Power Ledger (POWR) Bull Trap |  Daily Active Headlines, July 2023
Power Ledger (POWR) Bull Trap | Daily Active Headlines, July 2023, Source: Emotion

Daily active headlines It tracks the number of individual wallet addresses interacting on the blockchain network. This provides an estimate of the level of activity among retail market participants.

The chart above shows how the rally in POWR price FOMO (Fear of Missing Out) has attracted retail investors to the Power Ledger Network in the past few days.

POWR Price Prediction: One last push before recovering to $0.10

In short, the growing momentum among retail investors may push POWR price to another price pump in the coming days.

But without a historic ecosystem event to validate the renewed interest in whales, POWR could suffer a massive rebound once the market nears a joyful rally.

However, IntoTheBlock’s GIOM data indicates that the bulls could build a buying wall of support around $0.15. In that region, 3,120 investors bought 251 million POWR tokens at a minimum price of $0.15. If they choose to persist, they can lead to a rebound.

However, if the bull trap story proves to be true, the strong ledger price will drop to $0.10.

Power Ledger (POWR) Bull Trap |  Guillaume, July 2023
Predicting General Ledger Rates (POWR) | GIOM, July 2023, Source: IntoTheBlock

Conversely, if a community event stimulates renewed bullish momentum, POWR could head towards $0.30. However, the sell wall at $0.25 could be a challenge.

As seen above, 4080 investors bought 39 million POWR tokens at an average price of $0.26. Once they break even, they can exit the market.

Although it is unlikely, if the resistance level cannot hold, POWR could rally towards $0.30.


In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate and unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions.

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