The price of Trust Wallet Token (TWT) has exploded by 156% within seven days, outpacing the downward trend experienced by the cryptocurrency market, whose net capitalization has dropped by almost $100 billion since then.
On Nov. 15, TWT reached a record high of nearly $2.75, a day after it reached an intraday high of $2.43.
This token, which was trading for $0.40 in 2022, is one of the best-performing assets, having gained over 225% in this year.
Reason Behind The Up In Price of Trust Wallet Token
Exchange traders’ trust may be at its lowest level in 9 years
Since FTX went bankrupt last week, many crypto exchanges have suspended withdrawals, leaving traders scrambling for a safe place to keep their tokens.
It’s the kind of dramatic event, similar to Mt. Gox’s collapse nearly a decade ago, that can cause FUD and panic in the crypto community that can last months or even years.
On-chain signals indicate that a correction is imminent for TWT, despite the token outperforming the broader crypto markets recently, according to Santiment, A leading analytics firm.
It appears that a “mid-term cooldown period” may be envisioned due to TWT’s “very high” on-chain transaction volume.
The on-chain metric also shows that TWT’s realized profit has spiked by a “wide margin” and traders have locked in profits, according to Santiment.
Santiment notes that new users are joining the network and accumulating TWT in spite of signs of profit-taking.
“We can also see that mid and large-tier TWT addresses have been growing quite steadily in number, and certain tiers like the 10,000 to 100,000 [addresses] and one million to 10 million addresses, have really upped the amount of addresses in the past week,” cited the Santiment.
Binance CEO endorse the wallet
Self-custody wallets have risen in popularity as a result of distrust in centralized exchanges. Binance CEO Changpeng Zhao also has endorsed Trust Wallet.
“@TrustWallet your keys, your coins.” said the CEO on Twitter.
— CZ 🔶 Binance (@cz_binance) November 13, 2022
Trust Wallet enables users to control their crypto assets at all times through a non-custodial app. Its native assets is TWT.
Besides Tust Wallet, others are available with good reputations, such as Metamask and MyEtherWallet. As CZ has shined his glorious influencer light on Trust Wallet for the past couple of days, it has been getting the most attention