SUSHI, the native token of the SushiSwap decentralized exchange (DEX) soared in price, rising by more than 21% over the past 24 hours, and is currently one of the best performing DeFi tokens on the market.
The currency of the third biggest DEX on Ethereum is trading at $9.24 at the time of publishing, which represents a push of more than 70% over the past 7 days.
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The increased demand marks the token’s attempt to break past the highest level of $9.42, set yesterday. SUSHI token reached this mark for the first time since December 6th, when it dropped to $4.93, lows which had not been seen since January 2021.
According to blockchain analytics firm Santiment, whales with 100K to 10M of SUSHI tokens in their accounts have increased their holdings by almost 10% of SUSHI’s total supply since November. This is more than 24.2 million of all available SushiSwap tokens.
$SUSHI holders continue to see a nice payoff for sticking with the $ETH-based #DeFi asset through the tumultuous early December dip. Whale addresses with 100k to 10m have now accumulated a whopping +9.7% of the #Sushiswap supply since November 1st. https://t.co/cgelUMnpWe pic.twitter.com/rTJm3knlGt
— Santiment (@santimentfeed) December 27, 2021
One possible reason behind SushiSwap’s price recovery could be rumors that Daniele Sestagalli, the prominent DeFi figure, would be joining SushiSwap.
The talk spread after Sestagalli posted a tweet regarding a SushiSwap governance proposal that he had addressed earlier.
Imagine getting 100% of the fees of Binance distributed to you. That’s the future of $SUSHI holders. A DEX owned by Frogs made for Frogs.
— Daniele 🐸✊ (@danielesesta) December 27, 2021
SushiSwap has been going through a governance crisis for some time. One of the initial leaders behind the project’s creation in 2020, CTO Joseph Delong, recently left SushiSwap due to internal conflicts.
On the Flipside:
- The concentration of SUSHI supply in the hands of large holders is markedly high, sitting at 86%, according to CoinMarketCap.
- The prominent DeFi project has previously been involved in a rug pull scam when its founder, Chef Nomi, took out millions of SUSHI tokens a week after SushiSwap’s initial launch in September 2020.
