KAITO Airdrop: Top Claimers Sold Almost All Their Coins, But Can the Token Recover?

Unlike highly anticipated airdrops such as Berachain and Pi Network, which were expected for years, KAITO's airdrop caught many users by surprise.

KAITO, a new cryptocurrency token, has seen a massive sell-off among the top claimers, according to on-chain data. This selling pressure has contributed to the token's bearish price movement in the first hours after its launch.

The top 12 claimers received around $2.1 million in KAITO, but 10 of them have already sold at least some of their tokens. Furthermore, seven of the top 12 claimers have completely sold their KAITO holdings.

Only three of the top 12 claimers have chosen to stake their KAITO, indicating a cautious approach toward long-term commitment. This behavior is likely due to concerns about the token's long-term value or a strategy to secure profits following the airdrop distribution.

On-chain data also reveals that 76.7% of all users who claimed KAITO experienced a balance decrease. While this doesn't necessarily indicate that all of them sold their entire holdings, the majority reduced their exposure to the token, reflecting a cautious or profit-taking sentiment.

In contrast, 22% of the claimers have not moved their KAITO tokens, suggesting strong holding conviction. Only 1.3% of the users increased their holdings, indicating minimal accumulation interest.

This distribution pattern aligns with the community's criticism of KAITO's tokenomics and airdrop approach, which may have influenced users' decisions to sell or hold their tokens.

The low accumulation rate and high selling pressure among the top claimers suggest a bearish outlook, with the market sentiment prioritizing short-term gains over long-term value appreciation.

KAITO Price Prediction: Can It Continue Recovering From Recent Lows?

KAITO's price could continue recovering from the recent lows if it manages to restore community confidence and generate interest through its plans to tokenize social media content using artificial intelligence (AI).

KAITO experienced a rough launch, facing strong selling pressure, as was the case with many recent airdrops, such as Berachain. If KAITO can recover from the recent strong selling pressure, it could test $1.5 or even $2 very soon.

However, if the selling pressure doesn't let up, KAITO could face further declines, especially considering that Dune data shows less than 30% of the total KAITO supply has been claimed so far.

This indicates that a large portion of the tokens could still enter the market, potentially increasing selling pressure and pushing prices lower.

If this scenario unfolds, KAITO could test the support at $0.89. A breach of that level could see the price dropping below $0.8 or even $0.7.