Walrus trades in an environment where order-book depth is thin and uneven. This makes price highly sensitive to relatively small sell pressure once bids start to thin out. During low-volume periods, even modest exits can cause outsized moves, increasing downside volatility. This fragility means price stability depends heavily on continuous participation rather than structural demand.
For traders, this makes Walrus unsuitable for passive holding. Positions require active monitoring, especially when volume begins to taper. Once bid support weakens, exits tend to accelerate quickly. Walrus rewards short-term positioning aligned with strong liquidity conditions, not patience.
Key point:
👉 Walrus price is constrained by shallow order-book depth.
