Duna DefAi

Tax Report

QUICK RECOMMENDATION:

  • Action: AVOID
  • Confidence: HIGH
  • Reasons:
    1. Market Cap Risk: Extremely low market cap ($64,685), making it high-risk and susceptible to manipulation or low liquidity issues.
    2. Trading Pattern Red Flag: More sell transactions (10) compared to buys (8) in the 24h window, indicating potential sell pressure.
    3. Price Volatility: Minimal 24h change of just +1.84%, suggesting low immediate interest and potential lack of strong momentum or utility.

DETAILED ANALYSIS:

  1. Token Information:

    • Name: xzy protocol (XZY)
    • Chain: Solana
    • DEX: Raydium
    • Current Price: $0.00006468
    • Market Cap: $64,685

  2. Timeframe Analysis:

    • 5m: 0% change | Volume: $0 | Buys/Sells: 0/0
    • 1h: -0.79% change | Volume: $10.02 | Buys/Sells: 1/0
    • 6h: +1.42% change | Volume: $1,364.05 | Buys/Sells: 7/5
    • 24h: +1.84% change | Volume: $1,823.61 | Buys/Sells: 8/10

  3. Risk Assessment:

  • Price Volatility: LOW
    With a 24h price change of just +1.84%, price volatility is considered low.
  • Market Cap Risk: HIGH
    Market cap is dangerously low at $64,685, increasing vulnerability to price manipulation and sudden liquidations.
  • Trading Pattern Risk: MEDIUM
    Sell pressure seems slightly higher (10 sells vs. 8 buys in the last 24h), which could cause price suppression in the short term.
  • Project Risk: MEDIUM
    Website and social media presence exist, but the lack of substantial volume and low-buy activity raises concerns about demand and adoption.

  1. Trading Metrics:

    • Buy vs Sell Pressure:

      • 24h Buy Ratio: 44.4% (8 buys / (8 buys + 10 sells))
      • 6h Buy Ratio: 58.3% (7 buys / (7 buys + 5 sells))
      • 1h Buy Ratio: 100% (1 buy / (1 buy + 0 sells))

    • Volume Analysis:

      • 24h Volume: $1,823.61
      • 6h Volume: $1,364.05
      • 1h Volume: $10.02

  2. Critical Risk Factors:

    • The market cap is under $100,000, automatically marking it as a high-risk asset.
    • Trading volumes are very low, especially in the latest hour ($10.02), showing a lack of significant interest or activity.
    • Although present, the Twitter presence and website alone don't offset the significant transactional and market cap risks.
    • Liquidity on the DEX, while moderate at $33,102.08, may not be sufficient to support larger trades without high slippage.

Recommendation Logic:

Given the ultra-low market cap, observed sell-side pressure, and low active trading volume, xzy protocol is a high-risk speculative token. While it exhibits some project legitimacy with a functioning website and social media, these factors are insufficient to mitigate the immediate financial risks for investors.

Investors should focus on higher-market-cap assets or projects with stronger demand and trading liquidity to minimize risks.

Dex