Insider Selling Hits MAGA Token on Ethereum, Price Declines

• Insider selling activity in MEMEcoin (MAGA) prompts concern as one entity controls a significant portion of the token supply.
• Technical analysis signals a bearish trend for MAGA, prompting traders to consider short positions or await reversal signals.
• Ethereum’s bullish surge contrasts with cautionary RSI levels, indicating potential price corrections despite its impressive 18.07% gain.

Lookonchain, an on-chain analytics platform , has identified significant insider selling activity affecting the MEMEcoin ($MAGA) on the Ethereum blockchain.

According to their report, an insider utilized 22 separate wallets to acquire an initial holding of 140.4 billion MAGA tokens, representing one-third (33.37%) of the total supply, for a mere 5.35 ETH (approximately $19,586). Subsequently, the insider sold 79.9 billion MAGA tokens for 320 ETH (roughly $1.05 million), retaining a holding of over 60.5 billion MAGA tokens, currently valued at more than $9 million.

This news has demonstrably impacted the MAGA token price, which currently stands at $7.61, reflecting a moderate decline of 3.83% over the past 24 hours. Despite this, the token maintains a live market capitalization of $334,831,308 and a trading volume of $13,900,699, suggesting ongoing interest and trading activity in the market.

Technical analysis of MAGA’s price action reveals a bearish trend, with the MACD on the 4-hour chart reading at -0.170. Traders are advised to consider shorting positions or wait for a reversal signal before entering long positions. 

Source: TradingView

Moreover, MAGA’s RSI on the 4-hour chart stands at 45.22, indicating a balanced level of buying and selling pressure, suggesting a potential consolidation period before the next significant price movement.

Ethereum (ETH) continues its upward trend, with the price reaching $3,664.97, reflecting an increase of 18.07% in the last 24 hours. Ethereum’s live market capitalization is $440.263 billion, and its circulating supply is 120.127 million ETH.

Despite Ethereum’s recent gains, the Relative Strength Index (RSI) on the 4-hour price chart is at 84.65, indicating overbought conditions. Traders are urged to exercise caution and monitor RSI levels closely for potential price corrections.

Source: TradingView

Meanwhile, the Moving Average Convergence Divergence (MACD) for Ethereum (ETH) currently stands at 152.7 on the 4-hour price chart, indicating a strong bullish trend. This suggests that the price of Ethereum has been consistently rising, with the MACD line moving significantly above the signal line.