In a remarkable rally, SPX surged 25% in the last 24 hours, outperforming major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH).
This price hike pushed SPX to an all-time high of $1.25 during Friday’s early Asian trading hours. Despite a slight 4% pullback, the token maintains a strong bullish sentiment, hinting at further growth.
Increased Trading Activity Boosts SPX Momentum
Open Interest Hits Record Levels
SPX’s surge in activity is evident in its rising open interest, which reached a record $30.46 million, a 90% increase in just 24 hours, according to Coinglass.
Open interest represents the total number of unsettled derivative contracts, such as futures and options. A rise during a rally indicates new money entering the market, reinforcing the upward trend and suggesting sustained momentum.
Long/Short Ratio Signals Bullish Sentiment
The token’s Long/Short ratio, currently at 1.03, further reflects market optimism. This ratio measures the number of long (buy) positions versus short (sell) positions, with values above 1 signaling a bullish outlook.
SPX Price Prediction: Risks and Opportunities
Bullish Indicators Point to New Highs
SPX’s Chaikin Money Flow (CMF), a metric that tracks the flow of capital into and out of an asset, shows an upward trend at 0.08. Positive CMF values indicate strong buying pressure, suggesting bullish sentiment. If this trend continues, SPX could reclaim its $1.25 high and push beyond.
Profit-Taking Could Reverse Gains
However, profit-taking by token holders poses a risk. If selling pressure rises, SPX could face a downturn, potentially dipping to $0.99.
