Cryptocurrencies are performing relatively well following the quadrennial halving event, leaving a historic day behind. However, there was no significant hype, and the BTC price has still not reached $66,000. While volumes remain weak, at the time of writing, BTC experienced a loss of about $1000.
The Whale’s Altcoin Purchase
According to Lookonchain, a whale bought $4.29 million worth of PUPS Token, a cartoonish animal-themed meme token initially launched for Bitcoin Ordinals. It was later issued on the Solana network, attracted by its enticing appeal. Lookonchain pointed out the whale’s recent purchase worth over half a million dollars.
This makes the whale the largest investor in PUPS Token. The whale made another purchase worth half a million dollars before the Bitcoin halving. Lookonchain experts wrote in their latest announcements;
“This whale, before the Bitcoin halving, again bought 8,862 PUPS at $58 (totaling $512,000).
In total, they bought 63,024 PUPS for $4.29 million, with an average purchase price of $68, becoming the largest PUPS investor on Solana.”
Smart Money and Whales
In 2021, the term ‘smart money’ was much more common, and people tried to make significant gains by tracking the movements of large investors. Do Kwon, Zhu Su, and others were considered part of this smart money class. Later, it turned out they were scammers who could even steal their clients’ money, unable to properly manage their risks.
The activity shared by Lookonchain fits the 2021 definition of smart money. And if one of the assets they purchased starts a rally with ridiculous hype, we’ll see headlines like “this altcoin made $15 million.” However, there’s also the unseen side of these headlines. If the expected hype doesn’t materialize, this whale will lose $1.5 million on PUPS Coin.
The same whale also invests in President Joe Biden-themed Jeo Boden (BODEN) and dog-themed dogwifhat (WIF). Investors might benefit from being more cautious with such volatile assets.