Siren token rises 340% as analysts indicate concentrated holding.

Cryptocurrency token Siren surged 340% last week amid claims that a significant portion of its circulating supply could be concentrated in a small group of wallets.

Siren bills itself as “the first AI analytics agent deployed on the BNB chain.” As of this writing, SIREN is trading at $2.81, up more than 340% from $0.63 on March 16, according to CoinGecko data. Last month, the token exploded nearly 1,300% from $0.22. The rally has attracted scrutiny after analysts said a significant portion of the token supply could be concentrated in a small group of wallets. This is a dynamic that, if confirmed, could amplify volatility.

Citing an unverified custom entity created by Arkham Intelligence, on-chain analyst EmberCN said the party had concentrated almost all of its spot supply to profit from the contract. He said this was the secret behind the token’s surge last month.

According to the Arkham Intelligence page, the company holds 644 million SIRENs (worth about $1.8 billion). This corresponds to 88% of the total token circulation of 728 million.

Cryptocurrency analysts point to wallet clustering.

Mlmabc, an anonymous cryptocurrency analyst at Mlmabc said the wallet cluster is currently sitting at $950 million in unrealized profits, suggesting it could be dumping tokens on potential buyers.

Citing his Dune Analytics dashboard, Bitcoin strategy analyst Gerhard Kuschnik said that during the past month when SIREN was surging, most of the Siren token trading activity did not come from new users. Kuschnik said this was trading activity from existing holders, claiming the token was not garnering any new interest.

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“Most transactions are made by returning users.” He added that the average number of new users who purchased tokens during the surge was 100 to 200.