- Whales moved $91M in $OM to OKX before a 90% crash, sparking fears of manipulation and triggering mass panic selling.
- OTC deals offering $OM at a 50% discount intensified the drop as prices dipped below the threshold, shaking investor confidence.
- TOTAL3 chart shows a bullish wedge pattern and RSI support, signaling a possible altcoin market rebound despite $OM’s collapse.
According to Spot On Chain, In the past few days, a wave of volatility rocked the altcoin market, with $OM at the epicenter of the storm. A group of large $OM holders recently transferred 14.27 million tokens—worth around $91 million—to OKX. This move came just days before a brutal 90% crash.
These same whales had acquired over 84 million $OM from Binance in late March, spending approximately $564.7 million at an average of $6.71. Now, their remaining holdings sit at a shocking paper loss of $406.3 million. While some speculate they may have hedged positions elsewhere, the timing suggests potential manipulation.
Besides these whale actions, insider deals added fuel to the fire. Reports suggest that a large portion of $OM’s supply was sold over-the-counter to investors at a 50% discount. Consequently, when the token price plunged below this threshold, panic selling accelerated. Moreover, the MANTRA team quickly responded, emphasizing that the liquidations had no connection to the project’s fundamentals. They promised transparency and further updates on the cause of the dump.
TOTAL3 Chart Hints at Imminent Altcoin Reversal
Meanwhile, broader market signals point toward a potential recovery. The TOTAL3 chart, which tracks altcoin market capitalization excluding Bitcoin and Ethereum, currently shows a classic descending wedge pattern. Historically, this structure precedes upward breakouts. The chart reveals that price recently bounced from its 200-day moving average near $681 billion.
Additionally, RSI stands at 42.77—showing reduced selling pressure without entering oversold territory. This level has acted as a turning point in the past. Three bullish reactions at support add more conviction to the current bounce. Moreover, TOTAL3 remains resilient above key support and is now approaching a crucial resistance trendline.
Market Compression Could Spark Altcoin Surge
If the market breaks above the wedge’s upper boundary, it could trigger a powerful rally. The last swing high near $1.16 trillion remains a key target. Hence, a successful breakout may signal the beginning of a strong bullish phase. However, caution still matters. While technical indicators lean bullish, the recent $OM collapse proves that fundamental risks remain.
