Illuvium’s (ILV) price in the cryptocurrency market experienced a significant drop as a result of a major sell-off by a prominent wallet address known as luggis.eth. This marks the second major sell-off this year. The trader withdrew 70,764 ILV tokens, valued at around $2.86 million, from the Illuvium platform. Shortly after, they sold 40,000 ILV tokens, equivalent to approximately $1.54 million, just 45 minutes before the latest market update. As a result of this action, ILV’s price immediately dropped by approximately 7.8%.
As of the most recent data, ILV is currently trading at $37.84, which reflects a 3.3% decrease over the past 24 hours. The sell-off had a significant impact on the market, causing the price to plunge from a high of $40.79 within the same 24-hour period. The market cap currently stands at $256 million, with a fully diluted valuation of $361 million. Furthermore, the 24-hour trading volume reached nearly $39 million, indicating heightened trading activity following the sell-off.
This sharp decline in ILV’s price highlights the vulnerability of Illuvium’s market stability when faced with substantial movements of tokens by large holders. The market’s reaction raises concerns regarding liquidity and the potential for further volatility if additional tokens held by luggis.eth, which amount to 221,046 ILV ($8.25 million), are sold in the future. Market participants are closely monitoring the activities of this wallet address as any further movements could exert additional downward pressure on the price.
These recent events emphasize the importance of liquidity management in the cryptocurrency market, especially for tokens with relatively lower market caps. The community and investors of Illuvium may need to prepare for ongoing volatility as large token holders continue to influence the dynamics of the price.