OKB, the native token of crypto exchange OKX, has emerged as today’s top gainer, defying the broader market dip with a 26% surge.
The exchange token has been on a tear since Wednesday, setting new all-time highs daily. Its resilience amid a sluggish market signals strong spot demand, with on-chain data showing an uptick in derivatives market activity.
Confidence Surges as OKB Traders Double Down on Long Positions
Coinglass data reveals that OKB’s futures open interest has climbed to an all-time high, pointing to heightened participation from futures traders. As of this writing, this stands at $23.21 million, rocketing over 100% in the past 24 hours.
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Open interest measures the total value of outstanding futures contracts that have not yet been settled, serving as a key gauge of market participation and trader conviction.
When an asset sees an open interest spike during a price rally, it signals that new money is flowing into the market to back the trend rather than traders merely rotating positions. This influx of leveraged bets increases price momentum, as bullish traders build long positions in anticipation of further gains.
Therefore, OKB’s climbing open interest alongside its new daily all-time highs shows growing confidence that the rally has room to extend.
Further, the token’s positive funding rate confirms this bullish outlook. Per Coinglass, OKB’s weighted funding rate stood at 0.0732%, flipping over from the negative value recorded yesterday. This reversal signals a shift in market sentiment from bearish to bullish, with OKB holders now willing to pay a premium to maintain their long positions in expectations of more upside.
Funding rate measures the periodic payments exchanged between traders in perpetual futures contracts, ensuring that contract prices stay aligned with the spot market. When the funding rate is positive, long traders pay short traders, indicating that demand for bullish positions is outpacing bearish bets.
OKB’s funding rate confirms the strength of its rally and shows a market increasingly confident that higher prices may lie ahead.
OKB Bulls Want $260, But Market Could Pull Price Back to $210
If demand remains high, OKB could revisit its current all-time high of $257.57 and attempt to record new price peaks over the next few sessions.
However, an uptick in profit-taking activity could prevent this. OKB could lose some of its gains if sell-offs commence and plummet to $210.57.
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