edgeX (EDGE) hit a local high after rising 12% over the past 24 hours.
Bullish sentiment remained strong across the market. Community sentiment data showed that about 95% of 5,300 voters expected another increase.
Are traders still betting on a bigger rise?
Capital continued to flow into EdgeX’s perpetual market, reinforcing the bullish outlook. At press time, traders had added $3.1 million in new positions, bringing open interest to $18.9 million.
Funding rate data also remained positive. CoinGlass recorded the metric at 0.0245%, suggesting that most leveraged traders continued to position themselves for gains.
However, the funding rate remained relatively moderate, indicating that speculation has not yet reached extreme levels. This left traders wondering if new capital would continue to enter the market.
Can EDGE break through the resistance?
Chart data showed that EdgeX was trading within a key resistance zone. The level also aligns with a supply zone within its ascending channel. Prices reacted lower after testing the zone, with sellers regaining control in the short term.
Nonetheless, a break above the resistance could open the way to $0.48.
Sustained buying momentum could then push the altcoin to $0.51. A stronger rally could extend gains to $0.58.
The Bull Bear Power indicator supported this scenario. It printed a third consecutive green bar, suggesting that buying strength continues to build.
Why are holders leaving the market?
Despite the rally, holder data paints a more cautious picture.
The number of holders fell from 22,570 to 18,150 over the past month. This decline suggests that investors continued to reduce their exposure rather than accumulate it.
Additionally, Spot Netflow data showed persistent selling pressure.
Net flows over the past 24 hours, three days and five days reached $127,800, $157,400 and $16,020 respectively, indicating that capital continued to leave the market. Continued capital outflows could limit EDGE’s upside potential, especially if buying demand begins to weaken.
