The Artificial Superintelligence Alliance (FET) surged 15.49% in the past 24 hours as trading volume soared 31.37%, while renewed optimism in the AI sector appears to fuel speculative demand.
The rally brought FET’s market capitalization to $480.78 million and re-established the token among AI-related assets.
Growing chatter around OpenAI’s reported IPO ambitions has focused new attention on investments in artificial intelligence.
Additionally, stories of decentralized AI infrastructure have continued to generate interest in the crypto market.
FETs has also remained closely linked to the Decentralized AI Edge initiative, which has increased its relevance within the sector.
As a result, traders appeared to shift their capital into AI-driven tokens, seeking higher returns than large-cap cryptocurrencies.
Why do foreign exchange balances rise?
The foreign exchange reserve increased by 11.47% to $60.72 million despite the strong recovery in FET prices, creating a notable divergence below the surface.
Increasing supply held on exchanges often indicates that more tokens have become available for trading activity, which can increase liquidity during periods of increased demand.
However, the indicator also suggests that some holders may have positioned themselves to take profits after the recent advance.
While buyers absorbed the available supply and maintained control throughout the session, the increase in foreign exchange reserves showed that the selling pressure had not completely disappeared.
Market participants appeared willing to engage on both sides of the market rather than engaging exclusively in accumulation.
Can FET Reclaim Its Next Resistance Zone?
FET rebounded strongly from the $0.1823 support level and recovered towards $0.2136 after defending a critical demand zone.
Prices remained above recent lows, suggesting buyers are regaining control after the decline in early June.
The RSI climbed to 49.61 from lower values and approached the neutral threshold of 50, indicating strengthening market conditions without entering overheating territory. The indicator’s recovery reflects improving buyer interest rather than excessive speculation.
Meanwhile, the chart shows that $0.2538 remains the most important resistance level before any attempt towards $0.3000.
Buyers have repeatedly defended their support in recent sessions, which has strengthened the structure around current levels.
If FET rises above $0.2538, the rally could extend towards higher resistance zones.
If sellers reject another breakout attempt, price could revisit support near $0.1823 before establishing a clearer directional trend.
Bullish traders return to the derivatives market
Derivatives sentiment strengthened as the IO-weighted funding rate turned positive and reached 0.0002%.
This change indicated that long position holders had regained confidence and accepted additional costs to maintain their exposure.
Funding remained positive in the most recent sessions, which highlighted growing bullish conviction among leveraged participants.
Unlike previous periods that featured deeper negative results, current positioning suggests traders are increasingly expecting further upside.
Positive funding also aligned with the recovery in spot prices, creating a more favorable backdrop for continued activity.
However, the result remained relatively moderate rather than extreme, reducing the immediate risk of an overloaded long trade.
The balance allowed bullish sentiment to improve without showing signs of excessive leverage in the derivatives market.
The FET rally has been supported by renewed enthusiasm for the AI sector, increased trading activity and improved confidence in derivatives.
Although foreign exchange reserves increased and introduced potential profit-taking risks, buyers continued to defend key support levels as the RSI moved back into neutral territory.
The overall structure favors further upside, and a break above $0.2538 would likely strengthen the case for an advance towards $0.3000.
However, failure to overcome this obstacle could keep the FET stuck in its current recovery range.
Final Summary
- FET regained key support as buyers returned and sentiment improved.
- The increase in foreign exchange reserves has introduced supply risks despite the ongoing recovery.
