Convex Finance [CVX] investors pull off a Shiba Inu move, here’s how

ambcrypto.com:

The crypto community received some good news in the last 24 hours after the market seemingly attempted recovery. Thus, marking rallies as high as 15% – 20%. The momentary demand helped some altcoins register gains even though they didn’t have an impressive market cap. And, Convex Finance [CVX] was one of them.

Despite declining by 5.8% during the intra-day trading, CVX maintained the 24-hour rally at 13.77%. This is because the candlestick closed 20.4% above the opening price on 30 June after enduring the bear attack for the entire week. 

Convex Finance price action | Source: TradingView – AMBCrypto

But somehow, investors were quick to either anticipate a rally or shield themselves as CVX bottomed within 48 hours before the rise of 30 June. Furthermore, over 1.4 million CVX tokens worth over $4.2 million were sold by investors.

In one of the single biggest bouts of selling noticed in the protocol’s history, CVX saw its highest single-day transaction in a long time. 

Convex Finance selling | Source: Santiment – AMBCrypto

Furthermore, the total CVX supply that was moved around on 30 June amounted to $16.16 million worth of losses. 

Convex Finance network wide supply | Source: Santiment – AMBCrypto

This selling was organic in the sense that it wasn’t a whale move. The network observed the presence of investors on the chain, unlike before. Users, according to the active address count, increased by 148.8%, rising from 438 on an average to 1.09k in a single day.

Convex Finance investors in the loss. | Source: Intotheblock – AMBCrypto

This kind of behavior is usually found in Shiba Inu [SHIB] holders. The investors enthusiastically take part in buying or selling during a rise. However, they disappear when the market is in a downtrend.