EigenLayer (EIGEN) Token Tumbled 33% This Week, Even as "7 Siblings" Bought the Dip

EigenLayer (EIGEN) token tumbled to $2.3, its lowest level since Nov. 3, and down by 33% from its highest point this week and 52% below its all-time high.

EigenLayer (EIGEN) token price dropped on Friday, continuing its downward trend for the fourth consecutive day. However, the entity “7 Siblings” bought the dip, acquiring 1.07 million EIGEN tokens.

Despite this acquisition, EIGEN token fell to $2.3, its lowest level since Nov. 3, and down by 33% from its highest point this week and 52% below its all-time high.

Data from Nansen shows that “7 siblings” bought the tokens for a total of $2.59 million, which is a sign that they expect it to eventually bounce back.

In the past two days, the entity accumulated 1.06M $EIGEN for 833.75 $ETH, valued at $2.59M, at an average price of $2.43.

This acquisition is notable because they are some of the biggest crypto investors, with over $106 million in their wallets. Their biggest holdings are staked Ethereum (ETH) tokens, Compound (COMP), and USD Coin.

EIGEN token also retreated even after Infura announced that it was launching a decentralized public infrastructure network on EigenLayer. This will be a big event since Infura is one of the biggest infrastructure networks in the crypto industry, processing over 700 billion RPC requests a year. This launch comes after RedStone launched its testnet on Eigen’s AVS network.

EigenLayer has become a leading player in Decentralized Finance, where it provides restaking solutions. It has over $12.89 billion in assets, making it the third-biggest network in DeFi after Lido and AAVE.

EigenLayer launched its airdrop in September and has achieved a market capitalization of $435 million. Its fully diluted valuation has dropped from over $6 billion to $3.9 billion. A key challenge is that 14.9% of its market cap will be unlocked in December, diluting existing holders.