New Investors Build NEIRO Crypto Amid 15.76% Decline – What's Next?

• In the last week, the Nero has lost 15.76%.
• Fresh wallet accumulates 13.64 million tokens worth $1.029 million.

After a sustained rise, dive into Ethereum [NEIRO] Last week experienced a sharp decline. In fact, at the time of writing, NEIRO was trading at $0.001552. It has decreased by 3.78% compared to the previous day.

Also, Memecoin has lost 15.76% on the weekly chart.

This drop last week presented an opportunity for investors to buy the dip. As such, LukeChain observed that new wallet NEIRO started accumulating during this dip.

NEIRO sees increased savings

According to LukeChain, the fresh wallet was aggressively accumulating tokens. Blockchain Monitor shared this observation via their official X page stating that,

“Wallet “0xec6b” was created yesterday and withdrew 230.4 $ETH($575K) from #OKX to buy 8.23M $NEIRO. Wallet “0xd753″ was created yesterday and withdrew 5.41M $NEIRO($453K) from #Gateio.”

Source: Lookonchain

A total of 13.64 million NEIRO tokens worth $1.029 million have been deposited into these new wallets. Generally, when new wallets start accumulating a token, it indicates an increase in interest and demand.

When markets perform poorly, new investors enter the market expecting prices to rise.

Buying activity results in buying pressures that push up prices through supply pressures. So, the question is, can these savings help drive up prices?

Effect on the price chart?

While increased accumulation plays an important role in changing market dynamics, NEIRO's short-term data tells a different story.

Source: Sentiment

For example, the supply of tokens outside of exchanges has decreased to 133.78 billion tokens from a high of 165.75 billion last month. This decrease suggests that investors are depositing their NEIRO tokens on the exchange, reducing their holdings.

Source: Sentiment

This phenomenon was evidenced by the increase in supply on the exchange during this period. Sentiment data showed supply on the exchange rose to 286.9 billion from 254.98 billion.

This implies that most investors were ready to sell their assets which could lead to selling pressure.

Source: Sentiment

Additionally, NEIRO's daily active addresses dropped from 2390 to 219 over the past 3 weeks. This signals reduced participation, interest and demand, signaling investor apathy and lack of confidence in Memecoin's prospects.

What's next for Memecoin?

Although this new wallet has entered the market, more activity or events are needed to jumpstart NEIRO's price rally. Accumulation has not brought a positive impact on the price chart so far.

Read Nero in ETH [NEIRO] Price Forecast 2024-25

The current situation could set Memecoin up for further declines unless more buying opportunities arise. Thus, Memecoin may refuse to find its next support at $0.001355.