Kaspa (KAS) is back in the spotlight as fresh wallet activity and liquidity movements start to shake things up. The token is trading around $0.085 right now, after a choppy month filled with price swings. But what’s catching attention is what’s happening around the $0.12 level. According to Kaspa Daily on X, there’s a growing cluster of liquidity forming in that range, and that could pull the KAS price back up like a magnet.
In one of the tweets, Kaspa Daily mentioned that KAS just swept downside liquidity, meaning it dipped low enough to trigger stop-losses and force weak hands out of the market. That kind of move is common before a reversal or sideways chop, as it clears out short-term traders. What’s interesting is that right after that dip, the heatmap from Coinglass lit up with heavy order activity between $0.12 and $0.125, a classic setup where price could get pulled toward that level if momentum builds.
Kaspa just swept downside liquidity, shaking out weak hands, but the biggest liquidity cluster is now building around $0.12–$0.125.
This zone could act as a magnet, drawing price back up as liquidity naturally attracts price action.
— Kaspa Daily (@DailyKaspa) May 31, 2025
Volatility remains high, but this level… pic.twitter.com/iYMPzFkRZ2
On the flip side, the same chart shows strong buy interest sitting just below the current price, around $0.085 to $0.09. Below $0.08, though, liquidity thins out fast, which could lead to sharper drops if that level breaks. So, while support is still holding for now, the high volatility makes this a tricky zone, one where Kaspa price could either bounce hard or get faked out before making a real move.
Whale Wallet Accumulates Kaspa on the Dip
Another tweet from Kaspa Daily confirmed that the second-largest KAS wallet acquired 16 million tokens from Gate.io and Bybit. Blockchain records show that the address increased its balance from around 720 million KAS to over 750 million KAS between May 17 and May 31. A sharp accumulation took place on May 31, aligning with the lower price range.
This wallet activity suggests ongoing accumulation and potential long-term holding behavior. Withdrawals from centralized exchanges to private wallets are often viewed as indicators of reduced sell pressure in the short term.
Whale Wallet #2 Adds 16M $KAS on Dip
After weeks of silence, the second-largest Kaspa wallet has just accumulated 16 million more KAS, taking advantage of the recent price dip.
🔍 This time, the funds were sourced from both Gate. io and Bybit, indicating strategic accumulation… pic.twitter.com/iB8UIfm3sH
— Kaspa Daily (@DailyKaspa) May 31, 2025
Read Also: Chainlink (LINK) Could Face Another Double-Digit Dip If This Key Support Breaks
MEXC Balance Rises Amid Wider Exchange Outflows
On the exchange side, Kaspa Daily reported that MEXC’s wallet balance increased by over 35 million KAS during the same two-week period. However, the tweet also pointed out that overall exchange holdings are trending downward. Blockchain monitoring confirms this broader decline, suggesting more users are moving their KAS to self-custody options.
In the past two weeks, MEXC’s Kaspa balance increased by over 35 million KAS.
However, the broader trend remains intact, total exchange holdings continue to decline, signaling that more users are opting for self-custody and long-term holding. pic.twitter.com/ClotfHnKly
— Kaspa Daily (@DailyKaspa) May 31, 2025
The sharp increase in MEXC’s balance could be linked to internal exchange management or user rotations between platforms. Unless mirrored by similar inflows elsewhere, it is unlikely to change the broader trend of declining exchange reserves.
Moreover, Kaspa’s short-term trend remains bearish, marked by a sequence of lower highs and lower lows. Support at $0.085–$0.09 could determine whether the KAS price stabilizes or moves further down. Meanwhile, the liquidity build-up near $0.12 may act as a magnet if buying pressure increases. Price action in the coming days will likely reflect how market participants respond to these evolving on-chain signals.
Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Read our recent crypto market updates, news, and technical analysis here.
We recommend eToro
Active user community and social features like news feeds, chats for specific coins available for trading.
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
