When it comes to the most outstanding performing tokens in the second half of this year, TRB will definitely rank high. Just recently, TRB hit a new high this year, rising more than 10 times in two months. As its price continues to surge to highs this year, the Binance platform once again experienced extreme negative fee rates, and the calculation time was adjusted to every four hours. So, how much is TRB worth? Is the driving force behind the surge continuing to rise, or is it about to collapse? This article will give you an in-depth analysis!
What is TRB?
Tellor Tributes (TRB) is a decentralized oracle protocol. The main service content is to provide users with access to off-chain data outside the Ethereum network (such as API or transaction data of the Polygon chain), aiming to solve the current Ethereum network The problem of information isolation.
It creates an independent data system within the network, and users can request data from the system through contracts. After receiving the request, Tellor will query and associate relevant data within the system according to the user's different needs. At the same time, it also allows data submission. The submitter will receive TRB as a reward, but needs to pay gas fees and pledge TRB to ensure the accuracy of the submitted data.
TRB is the native token of Tellor Tributes. According to its token model, TRB has no fixed supply, issuance and data submission rewards. At present, the total supply of TRB is growing relatively slowly.
According to data on Etherscan, the total issuance and circulation of TRB coins are approximately 2.5416 million and 2.4891 million respectively, with a circulation rate of 97.93%. This limited supply and high circulation rate make TRB tokens more scarce in the market.
Why does TRB keep rising?
First, let’s take a look at the fundamentals to see if there’s any major positive news!
Tellor Tributes is not a new player, but an old project launched in 2019. Compared with its peers (such as LINK, BAND, etc.), it has no leading edge, its technology is mediocre, and there is nothing special about its community or marketing model.
On official Twitter and other channels, there was no big positive news during this period. The number of followers on Twitter is 35,700. If it weren’t for the recent popularity of currency prices, the interaction data and likes, retweets and replies would be average. YouTube followers are 1.4k, with 243 videos, and the number of views is very average; blog posts are also updated slowly, the latest one was published on October 20; Discord followers are 5.71K, and there are more than 200 people online, which is very ordinary. There have been no major collaborations in the industry recently, and there have been no major financing events.
What is the total amount of data provided by the oracle, the number and distribution of nodes participating in the network and providing data reporting services; what are the DAPPs that actually use the oracle; no relevant information is currently available, and the annual and semi-annual reports are There is no relevant introduction. Overall, TRB has no major positive fundamentals.
But if we analyze it from the financial perspective, it can be said to be exciting.
On the one hand, the giant whale has a high degree of control over the trading volume, and on the other hand, the contract trading volume is measured in hundreds of millions, which makes people doubt that this is a feast of capital!
As mentioned above, the Tellor Tributes token TRB itself is basically in full circulation, with a circulating market value of only US$270 million. Judging from the total holdings, the first address holds 17.38%, the Binance address holds 14.58%, and the top 10 addresses hold a total of 47.77%. The degree of token control is quite high.
Let’s take a look at the contract trading volume
TRB's contract holdings have grown with the rise in price. Since October 15, the holdings have fluctuated between US$183-355 million. This is really disappointing for a small currency with a circulating market value of only US$270 million. I find it incredible.
Looking at TRB’s historical liquidation data, every significant rise or fall in price is accompanied by a large amount of liquidation. On October 23, the total amount of long and short liquidation was US$8.1443 million, the highest in history.
Along with large liquidations, there are also extreme fee situations.
The above figure shows us the TRB position-weighted funding rate, with an 8-hour calculation cycle. It can be seen that every time the price rises sharply, there is basically an extreme rate situation (capping at 3% or -3%). The real situation is that the platform will also make periodic adjustments. For example, on October 24, the Binance platform adjusted the extreme fee rate and adjusted the calculation cycle from 8 hours to 4 hours.
Summarize
The short-term price of Tellor Tributes (TRB) has risen sharply, mainly driven by funds!
Some giant whales hold huge amounts of spot positions and highly control the circulation of tokens. They make targeted pulls or sell-offs. Others want to go short but have no chips to sell and want to go long. The whales make retail investors doubt their lives.
When the price reaches a surprising high or low level, it can attract the entry of the contract army, and the giant whales will become rivals with them. They will not only eat the funding rate, but also trade long and short, and make profits by matching the spot contracts. It can be said that contracts are the main battlefield for whales to make profits, taking advantage of people's FOMO emotions.
Giant whales still have a very strong influence on TRB prices, and the next big fluctuation depends on their wishes. We would like to remind investors not to easily judge the trend of this token based on technical analysis. Future fluctuations may be very severe, so be sure to pay attention to the risks.