@edithjuliet

Monitoring VC-related wallets on-chain can provide valuable early signals, but it’s not foolproof. Significant token transfers from known VC addresses to exchanges often precede sell-offs, especially around unlock dates. However, not all transfers indicate immediate selling—funds may move for custody changes, OTC deals, or staking. To increase accuracy, analysts combine on-chain data with vesting schedules, market sentiment, and liquidity conditions. High-volume transfers during weak market sentiment or low liquidity periods are more likely to lead to price declines. Automated tracking tools and wallet labeling have improved visibility, but sophisticated VCs often use multiple addresses and intermediaries to mask moves. Overall, tracking VC flows is a useful leading indicator, especially when paired with context, but it should not be the sole basis for timing decisions.

0 reply

0 recast

0 reaction