The native token of decentralized finance (DeFi) protocol Compound (COMP) has surged by more than 50% in four days following a spike in volume and outflows on Binance.

COMP was trading at $45.98 at press time, doubling in value from its June 10 low of $22.89 and rising by 51.4% since Sunday, according to TradingView data.

Blockchain sleuth Lookonchain noted that one particular wallet deposited $3.5 million worth of tether (USDT) to Binance on June 26 before withdrawing 50,000 COMP tokens ($2.26 million) on Wednesday and an additional 120,000 tokens ($5.5 million) on Thursday.

The inflow of stablecoins and outflow of compound tokens indicates that this particular wallet has been steadily accumulating the DeFi token.

According to historical CoinMarketCap data, 24-hour volume for COMP trading pairs averaged between $10 million and $15 million between June 11 and June 24. On June 25, it experienced $170 million in daily volume with a further $119 million being printed on June 27.

Several altcoins have been rallying recently following bitcoin's charge back above the $30,000 level of resistance. The likes of Blur and Arbitrum posted double-digital gains earlier this week as bitcoin (BTC) and ether (ETH) consolidated, indicating a positive shift in sentiment after three-months of low volatility trading at range lows.

Compound Finance On-chain Data DeFi COMP Binance

Oliver Knight

Oliver Knight joined CoinDesk as a news reporter in April 2022. Before joining CoinDesk, Knight was the Chief Reporter at Coin Rivet for three years. Having graduated with a journalism degree from Birmingham City University, Knight went on to work at various sports publications before diving into the world of Bitcoin in 2014. He does not have any crypto holdings.