- DEXTF Protocol launched its liquidity incentivization program on SushiSwap Onsen.
- The move will help DeFi enthusiasts receive an annualized return on investment of 376% in SUSHI tokens.
- Despite the significance of the news, SushiSwap whales are on a selling spree.
DeFi users will be able to generate massive returns as the SushiSwap Onsen protocol is about to offer a new incentivization program developed by DEXTF Protocol.
The newest and hottest DeFi protocol in the market
DEXTF Protocol recently announced the launch of an incentivization program on the SushiSwap Onsen protocol. Market participants appeared to have welcomed as a significant spike in network activity was recorded over the past 24 hours.
Indeed, DEXTF’s liquidity skyrocketed by a whopping 1,720%, going from $16,400 to nearly $282,000.
According to SushiSwap Onsen, the new pair’s yield stands tall at 375% APY.
Onsen is an alternative product launched by SushiSwap to provide a platform to initiate liquidity mining incentives. This platform also acts as a bridge to interoperate between the existing projects in the DeFi ecosystem and future opportunities. In exchange for providing liquidity to users, receive rewards in the platform’s native token SUSHI.
Onsen DEXTF/WETH chart
More users jumping on the yield farming bandwagon will improve SushiSwap’s revenue and hence the token’s prospects.
SushiSwap price faces mounting downward pressure
Regardless of SushiSwap’s increasing utility, it seems like whales are preparing for a steep correction on SUSHI price.
Santiment’s holder distribution index reveals that the number of addresses holding between 1 and 10 million SUSHI has significantly decreased since February 13. Roughly five whales have left the network or redistributed their tokens, representing a 36% decline.
During this period, SushiSwap price dropped by 19%. Such market behavior indicates that lower lows will likely follow a continuous exodus of whales on the network.
SushiSwap Holders Distribution
IntoTheBlock’s In/Out of the Money Around Price (IOMAP) model shows that SushiSwap sits on top of stable support despite the mounting selling pressure. Roughly 74 addresses accumulated 73 million SUSHI at $13.14. This significant demand wall may act as a cushion preventing prices from a steeper decline.
But if SushiSwap price fails to hold above this hurdle, it will likely drop to the next important area of support, around $10.
It is worth noting that SushiSwap price does not face any significant resistance barriers ahead. Therefore, a sudden spike in buy orders behind it could see it rise towards $15.60, based on the IOMAP cohorts.