Introduction

Narratives dominate crypto, and with them, come new opportunities. Despite the sideways price action, DEX traders have paved the way for profitability across many narratives. This report dives into a few narratives that resulted in significant profits for DEX traders, looking at opportunities that yielded a +ROI (both realized and unrealized). By the end of this, readers can expect to find high-signal wallets with high-level trends across them to answer things such as:

• What tokens are they rotating to next or what are they bullish on?
• What apps do they like and which chains do they prefer?

The report does not dive into the product market fit of the narratives or rationalize any thesis, instead it simply highlights chad wallets and potential new metas.

Methodology

First, we had to define the narratives. This report focuses on the four narratives below:

• DeFi 1.0/RWAs
• Telegram Trading Bots
• GambleFi/on-chain gaming
• Memes

We then defined specific timeframes for wallets to accumulate token(s) that led up to the upward price action. The timeframes for both accumulation and selling line up to ensure both a great entry and exit price. To drill down on more profitable wallets, we filtered out wallets that did not have greater than $10k of inflows and outflows in our timeframes. Below, are the narratives, their respective tokens, and the timeframes chosen:

Aggregated Metrics

We break down each narrative into two segments:

• Deep dives on successful traders
  • Traders with $10k inflows and outflows in the timeframes.
  • Use case: get high-signal traders.
• Token balances of the early buyers (did not necessarily sell)
  • Wallets with $1k or more inflows during the timeframe.
  • This does not include LPs, it only looks at the idle capital of wallets that accumulated during the specified dates.
  • Use case: check wallets with high unrealized gains to see if they are selling or holding their positions.

DeFi 1.0 and Real World Assets

This category includes MKR and COMP. In the timeframes we analyzed, both these tokens have seen their value increase more than twofold.

Blurr.eth 0xef764bac8a438e7e498c2e5fccf0f174c3e3f8db

• Main token holdings in portfolio:
  • USDC ($16.6m - 62.75% of total allocation)
  • DAI ($5m - 18.86% of total allocation)
  • NOTE ($4.4m - 16% of total allocation)
  • MKR ($3.4m - 13.08% of total allocation)

Fiatfor.eth 0x9b3e7f46e4e8894d4bc84bb3200161cc6f0fa0f2

• Main token holdings in portfolio:
  • OX ($336k - 28.5% of total allocation)
  • ETH ($218k - 18.4% of total allocation)
  • LOOKS ($147k - 12.4% of total allocation)
  • BLUR ($137k - 11.6% of total allocation)
  • MKR ($126k - 10.7% of total allocation)

Below, we will show aggregated holdings of each token of the top wallets that were early and accumulated $1k or more.

MKR Balances vs Price

MKR saw a very large selloff as prices rose over the past month. On June 23rd, with MKR trading around $738, balances exceeded 172k tokens across these early wallets. Currently, as of August 2nd, these same wallets only hold 125k tokens. Assuming an average sell price of $1k, these wallets generated around $47m in revenues. As the price continues to go up, these wallet balances continue to decline. With that being said, they currently hold $167,281,896 of MKR at today’s prices.

COMP Balances vs Price

COMP, on the other hand, has seen a much more stable balance across these accumulators. After the steep accumulation till June 20th, holders began to sell into the price pump from $28 to $50. The holders have been rather vigilant in holding their tokens despite the large price increase. This would definitely be something to monitor moving forward as they hold $92.6m COMP tokens as of August 2nd.

Telegram Trading Bots

Telegram trading bots included UNIBOT, GENIE, and LAELAPS.

0xbe23cbb62064b8b1550ae5ada59c39d45b1e2081

• Main token holdings in portfolio:
  • UNIBOT ($357k - 35% of total allocation)
  • FLOKI ($204k - 20% of total allocation)
  • UniDex ($141k - 14% of total allocation)
  • WagieBot ($85k - 8.5% of total allocation)
  • Hoppy ($45k - 4.5% of total allocation)
  • Etc.

0x348cf14A29023E7AAEe40665F2De1101be0a2af0

• Average buy price of UNIBOT is $31, still holding $25k worth
• Recently traded HOPPY, LAELAPS, JIM

0x9c07606f19575780a208402731bc7c8169d7ad50

• Recently traded LAELAPS and UNIBOT
• Main token holdings in portfolio:
  • UNIBOT ($1m - 97% of total allocation)
  • LAELAPS ($47k - 3% of total allocation)

Taking a higher-level view, let's see a breakdown of the top early accumulators.

Unibot Balances vs Price

LAELAPS Balances vs Price

GENIE Balances vs Price

Based on the above charts, it looks like UNIBOT shows the most promise as its early buyers who are up significantly in unrealized gains, still hold nearly ~$67m of UNIBOT at today’s prices. Although many of the top accumulators have de-risked, it is useful to track this chart to see if these wallets derisk or double down on their UNIBOT holdings. LAELAPS and GENIE are much smaller in terms of market cap. LAELAPS holders have also derisked into the price rise, but in total, these holders only hold around $350k at these prices. As for GENIE, these holders have significantly derisked from July 14th onwards into the parabolic run-up. Their current holdings are around ~$415k as of August 2nd.

GambleFi/On-chain Gaming

For GambleFi / On-chain gaming category, we included DMT on Arbitrum as one of the main plays. DMT is spearheading the GamebleFi/ onchain-gaming narrative as a Milady-themed casino.

0x55b1be5e9d5c2c18916cc06406629958c3bf0c2e

• Main token holdings in portfolio:
  • DMT ($173k - 62% of total allocation)

0x6e4d47dad1e97833f4ecb0ef56347ba8e6fd1c0e

• Main token holdings in portfolio:
  • ETH (~$185k - 65.40% of total allocation)
  • Staking 2656 DMT (~$77k - 27% of total allocation)
  • USDC

0xde2fd50c56668d0e6326e32397cf5d8cf7e3bc07

• Main token holdings in portfolio:
  • DMT (~$38k - 30% of total allocation)
  • FUMO (~$28k - 22.6% of total allocation)
  • VELA ($25k - 20.3% of total allocation)
  • Etc.
• This wallet is primarily active on Arbitrum.

0xdb7d2092aca9115002341c3bccba5d28c10af980

• Main token holdings in portfolio:
  • BITCOIN (~$115k - 45% of total allocation)
  • PEPE (~$70.8k - 27.5% of total allocation)
  • DMT (~$61.4k - 23.87% of total allocation)
  • Etc.
• This trader recently accumulated BITCOIN at the dip on 7/29.

DMT Balances vs Price

Early DMT holders were not shy to take profits into the price pump. As of June 23rd, the early accumulators held over 194k DMT tokens at $7.20 a token. The next day, the price doubled to $15 and continued to go parabolic to $43. These wallets dumped a lot of holdings with the initial pump and have slowly sold into the price action. As of August 2nd, these wallets only hold ~90k tokens, in other words, they sold more than 50% of their holdings.

Memes

For meme tokens, it only comprised BITCOIN (HarryPotterObamaSonic10Inu) which is up over 446% in the last 30 days (as of July 31st).

BITCOIN

• 0x2ccefd1a2c608d9d277463e5cc402ac7dd27c180
  • Main token holdings in portfolio:
    • BITCOIN ($373k - 90% of total allocation)
    • ETH
    • Etc.
  • Traded COCO recently, and a small amount of BALD (0.8 eth)
  • Accumulated more BITCOIN at the 31/7 dip while most people bridged to Base Chain
• 0x82ae409ed5d28dedbdbf645ee4fe47772847c14d
  • Fully rotated out of BITCOIN. This trader bought at around 20M market cap and sold at 100M market cap.
  • Main token holdings in portfolio:
    • PEPE ($308k - 58.6% of total allocation)
    • UNIBOT ($215k - 41.3% of total allocation)
• 0x0b8f4c4e7626a91460dac057eb43e0de59d5b44f
  • Main token holdings in portfolio:
    • ETH ($2m - 91% of total allocation)
    • BITCOIN ($136k - 6% of total allocation)
    • Small amount of MOG
    • Etc.
• 0xa6bca893863d801110dd7bf85928b762df0b8adf
  • Main token holdings in portfolio:
    • UNIBOT ($65k - 93.22% of total allocation)
    • OPTISM (on Base; 3.11% of total allocation)

BITCOIN Balances vs Price

The top wallets during the accumulation phase have risked off, falling from 832m tokens on July 12th to 649.5m as of August 2nd (a 21.92% decrease). A lot of selling happened up until July 20th, coinciding with the initial price increase. Since July 20th, token balances have continued a slow downtrend.

Although we highlighted the top traders in each individual narrative, were there any cross-narrative traders?

Deep Dives on The Ultimate Narrative Traders

We further looked at wallets that traded two or more of the narratives successfully.

Cross-Narrative Traders

We will break down narrative traders across 2 segments - accumulators and traders.

• Accumulators are traders who accumulated $20k min USD across 2 or more segments (10k per narrative)
  • They were early and did so with size
• Traders accumulated $20k across 2 or more segments and sold with large profits (over 10k bought and sold per narrative)
  • They were early, did so with size, and realized a profit

Accumulators

As defined earlier, accumulators saw minimum inflows $20k USD or more across two or more segments ($10k per narrative based on today's prices). There were 35 unique wallets that bought into two or more narratives. As for their portfolios, how are they positioned today?

In terms of idle wallet holdings, these are the top token holdings (excluding stables and ETH) across the 35 wallets:

1. UNIBOT - $9.4m
2. BITCOIN - $1.9m
3. DMT - $1m
4. RLB - $823k
5. PEPE - $764k
6. SYN - $661k
7. 0X - $284k
8. TIG - 196k

Continuing to look at the accumulators, we want to see the top entities they have interacted with in the last 30 days to see what potential new metas there might be. Below is a list of the top entities sorted by interactions and number of wallets.

Interestingly, Unibot is the 3rd most used entity from the narrative traders, sitting ahead of 0x, Blur, Tether and other apps like OpenSea. When looking at it from a unique interaction perspective, Unibot ranks second just behind Uniswap. This indicates that the narrative accumulators are not just bullish on UNIBOT, but are actually users of the product itself.

Other than the well-known entities and other long-standing entities such as Coinbase or Binance, there are a few potential standout applications these accumulators interacted with quite frequently.

DEXs/Aggregators

• OpenOcean
• Ambient

Cross chain

• Socket
• Orbiter Finance
• Stargate
• Hop Protocol
• Synapse

LSD

• Unsheth
• Lybra Finance

NFTs

• Library Onchain
• Sproto Gremlins
• Milady Maker

Traders

There were six wallets who were able to successfully trade 2 or more narratives. They were able to do what the accumulators did but have since taken profit. Given the prices are still 2-5x on some of the tokens, the accumulators are up a lot on their entries and are sitting on high unrealized profits. We wanted to make the distinction between the two groups so it's easier for the reader to use the segments. Let's see what they are holding as of July 31st. The top wallet holdings, excluding stables, greater than $50k at the time of writing are:

• UNIBOT - $327k
• DMT - $272k
• LDO - $132k
• RLB - $131k
• BITCOIN (harry potter) - $52k

As for chain allocation, 75% remains Ethereum and the majority of the remainder is on Arbitrum. Their Arbitrum allocation is noteworthy given they have $262k of DMT sitting idle in their wallets and are also active in a few protocols - Tigris Trade, Sanko Game Corp and Camelot.

• Tigris Trade is a perp platform on Arbitrum with $526k in TVL at the time of writing
• Sank Game Corp is a game on Arbitrum as well and is behind the token DMT
• Over $11k of XGRAIL being staked on Camelot

As for Ethereum, EigenLayer is the largest hit amongst these traders having deposited over $47k of collateral into the staking contract. The runner-up is Frax, with over $12k of FXS being staked until 2025.

Their portfolios suggest they are more keen on holding assets on Ethereum but allocate to more protocols on Arbitrum in USD value. Note they do not hold any assets on zkSync or Starkware. We mention this as there appear to be large spikes in DAUs for these chains, but the people making the money on narratives have not taken to them for potential metas, yet. A change in entity engagement or token balances can change that but from a current on-chain perspective, the narrative traders are only looking for opportunities on Ethereum and Arbitrum.

Top Entities

Most of the top entities are well-known blue chips. Some of the newer entrants are Unibot and EigenLayer. Although there are only a few interactions, 66% of the traders have interacted with Unibot in the last month. In line with the accumulators, the narrative traders also utilize Unibot, suggesting a large product market fit for traders on top just holding the token.