OG Ethereum ERC-404 token PANDORA is bouncing back. What’s behind it?
PANDORA, the first token to use the Ethereum ERC-404 token standard, is on the move after weeks of slowdowns. The token price surged significantly over the weekend, rising by around 50% to hit $24,000 again. This recovery was triggered by a number of factors, so here we are.
Whales targeting PANDORA
The most obvious reason for the surge in PANDORA’s price over the weekend can be traced to significant whale activity. On-chain data tracking website Lookonchain flagged numerous whale transactions that occurred in the days leading up to the price spike.
The first whale accumulation came on February 20th when Lookonchain reported that one whale had spent $4.89 million to purchase 244.24 PANDORA tokens. A series of purchases were made over several days, and by the time the whale purchase was completed, the average entry price had reached $20,044.
The giant whale spent $4.89 million. $USDC 244.24 Purchase #Pandora The average price for Feb 13, Feb 14 and today is $20,044. https://t.co/DR58pEXN5j pic.twitter.com/c7Q3sM6ksO
— Lookonchain (@lookonchain) February 20, 2024
A few days later, on February 23, the on-chain tracking platform reported that another whale was playing PANDORA. This time, the new whale spent $1.37 million to purchase 71.45 PANDORA tokens at an average price of $19,268.
Another whale is buying #Pandora$1.37 million spent $USDC 71.45 Purchase #Pandora The average price to date is $19,268. https://t.co/o1z3c6EfLrhttps://t.co/NMzLjtdMqm pic.twitter.com/j0mGVsMik5
— Lookonchain (@lookonchain) February 23, 2024
Together, these whales raised just over $6 million worth of tokens. When the price eventually reached $24,000, the first whale had a profit margin of almost $1 million, while the second whale had a profit of more than $330,000.
Price rose above $24,000 during the weekend | Source: PANDORA/USDT on Tradingview.com
First set of incentive lands for holders
Another factor that helped boost PANDORA price during this week is incentives in the form of airdrops announced to PANDORA holders. Monarch, a project built on the Ethereum ERC-404 token standard, announced in early February that it would award tokens to PANDORA investors.
It was announced that a total of 5% of the token supply will be allocated as an airdrop for PANDORA holders. These incentives, along with the fact that PANDORA announced that it is preparing to release the latest version of the ERC-404 token standard, have created demand for the token.
PANDORA token performance
Over the weekend, PANDORA price rose 50% in one day from a trend around $16,000 to break the $24,000 level. However, these high price levels cannot last for long as a sharp sell-off triggered by whales dumping their assets will follow on February 23rd.
On the last day, the token price continued to fluctuate between $16,000 and $17,000. As of this writing, the altcoin is trading at $17,139, with a 5% loss on the last day, according to data from Dexscreener.
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