- VIRTUAL surged 13.25%, hitting a four-month high.
- Virtuals protocol makes a bullish crossover from two fronts as momentum strengthens.
After reaching $2.24 three days ago, Virtuals Protocol [VIRTUAL]faced strong rejection. The altcoin retraced to a low of $1.83.
However, over the past day, VIRTUAL has successfully retested $1.8 support and rebounded to hit a 4-month high of $2.25. In fact, as of this writing, VIRTUAL was trading at $2.24. This marked a 13.26% increase over the past 24 hours.
Over the same period, the altcoin’s volume has surged by 69.16% to reach $329.34 million while the market cap was up $13.18%, hitting $1.44 billion.
A surge in price alongside volume and market cap signals strong demand for an asset. As such, VIRTUAL was experiencing significant demand across all market participants in both spot and futures markets.
Source: Coinalyze
For starters, demand in the spot market remains strong, with buyers dominating over the past day. VIRTUAL buyers have accumulated 5.18 million in volume, creating a positive market imbalance of 403K compared to sellers.
The same trend extends to the Futures market, where VIRTUAL’s Open Interest has surged 18.83% to $237 million, according to CoinGlass data.
This sharp increase suggests that investors are heavily favoring futures contracts.
Source: CoinGlass
VIRTUAL’s long and short data reveal that most Futures investors are favoring long positions.
At press time, longs accounted for over 50% of all futures contracts, with the Long-to-Short Ratio exceeding 1, while shorts held 49% of total Futures.
This preference for long positions is further supported by VIRTUAL’s Funding Rate remaining positive across major exchanges.
When longs dominate the market, it signals widespread bullish sentiment, with investors expecting prices to climb further in the near term.
Source: Coinalyze
Is VIRTUAL set for a sustained uptrend?
According to AMBCrypto’s analysis, the coin was currently experiencing a strong upward momentum amid rising demand.
This strong upward momentum is evidenced by the fact that VIRTUAL has made bullish crossovers across two fronts.
Over the past day, the altcoin’s Stoch RSI made a bullish crossover, rising to 50. A crossover here suggests that the momentum to the upside is strong and is very likely to continue.
Source: TradingView
This upside momentum was further confirmed by another bullish crossover that emerged on VIRTUAL’s RSI.
A move to the upside here suggests that buyers have taken control of the market, thus displacing sellers in the market. RSI has surged to 66 with its MA sitting at 62.
These crossovers pointed out that demand has strengthened the uptrend, and VIRTUALl could make more gains.
Therefore, based on the above observation, if the trend continues with bullish sentiments persisting, the altcoin will find the next significant resistance around $2.44.
Conversely, if the attempt by Bulls fails with sellers starting to realize a profit, a pullback will see VIRTUAL drop to $1.92.
