Plasma team moves $9.6M in XPL – Can bulls ignore THESE warning signs?

Plasma [XPL] maintains a bearish outlook despite recent momentum. Over the past 24 hours, XPL climbed 9.50% to reach $0.068 at press time.  Despite the price surge, selling pressure on XPL persisted as Onchain Lens reported that the Plasma team dumped 150 million tokens worth $9.64 million to Binance. In the crypto market, transfers from wallets to exchanges typically signal a potential sell‑off.  Moreover, it is not only the Plasma team that appears to be offloading its XPL holdings. The top 100 XPL addresses are also following the same trend, according to data from the analytics platform Nansen. The data shows that over the past 24 hours, the top 100 XPL addresses have reduced their holdings by 20%. However, traders at the same time appear to have a different outlook. At press time, Coinglass data showed that traders were betting on a higher price, as the XPL's OI-Weighted Funding Rate has climbed to a positive 0.0055%. This indicates that bullish sentiment is gradually building among market participants.  Meanwhile, traders were heavily over-leveraged at $0.0629 on the downside and $0.0709 on the upside. At these levels, they have built $1.74 million worth of long positions and $333,000 worth of short positions. This suggests that, on an intraday basis, bulls are currently dominating the market, while bears appear to be losing momentum. XPL price action suggests further downside ahead  While examining the daily chart, it appears that whales might be taking advantage of the ongoing retest of a key level. According to the daily chart, XPL recently broke below its key support level of $0.07020, which it had been holding since September 2025. However, the asset now appears to be revisiting that key level.  Here are two scenarios that are possible for XPL: either the asset reclaims the $0.07020 level or it prepares for another leg down. Based on current price action, if XPL remains below $0.07020, downward momentum could continue in the coming days. A sharper decline may only occur if the price falls below $0.060. This bearish thesis would be invalidated if XPL successfully reclaims $0.07020. At the time of writing, XPL was trading below the 200-day Exponential Moving Average (EMA), while the Average Directional Index (ADX) has fallen to 16.24. This highlights weak trend strength and a lack of strong bullish momentum, which could make the asset vulnerable to further downside movement. Final Summary The Plasma team dumped a massive 150 million XPL tokens worth $9.64 million to Binance as the asset's price recovered. Price action suggested that further downside for XPL may be on the horizon, with a sharp decline possible if the price breaks below the $0.060 level.