edgeX (EDGE) extended its two-day rally, climbing 11% as a sense of relief returned to the broader market. The altcoin ranked among the top 150 cryptocurrencies to benefit from the rebound.
Several financial and structural signals could support a further increase. However, derivatives data revealed some hesitation on the part of traders.
Are buyers supporting EDGE’s rally?
The spot market has provided much of EDGE’s bullish structure, as accumulation has increased over the past week.
Investors purchased and withdrew $16.18 million from EDGE during the period. This pushed Spot Netflow to -$1.05 million.
Purchases continued over shorter periods. Outflows reached $2.23 million over 24 hours, while net flow stood at -$291,780. These withdrawals suggest that investors have driven EDGE away from exchanges, thereby reducing its immediately available supply.
Additionally, the funding rate reached its highest level since July 14.
It reached 0.0091%, showing that long traders paid short positions to maintain their positions.
The long exposure stood at nearly $23.02 million at press time. However, the moderate funding rate suggests that the bullish positioning has not been overheated.
Is investor confidence improving?
EDGE’s 24-hour sentiment score reached 4.64 on a scale of -10 to +10. The positive reading indicates that bullish commentary offset bearish sentiment during the period.
The number of holders also increased after falling to 18,040 on July 4.
The total then returned to 18,210, suggesting that more portfolios were exposed to EDGE. Continued holder growth and positive sentiment could strengthen the case for sustainable accumulation.
Should EDGE holders be concerned?
Nonetheless, other indicators revealed continued uncertainty among market participants.
The number of EDGE holders increased after July 7, while the total value locked remained largely unchanged.
DeFiLlama data places the total value locked (TVL) at $94.59 million, up from $95.05 million at the start of the period.
This divergence suggests that growing token ownership has not yet injected additional capital into the protocol.
At the same time, the Long/Short ratio has fallen below 1, reaching 0.84 according to the latest CoinGlass reading. The result showed more short accounts than long, despite positive funding rates and continued cash outflows.
Therefore, EDGE’s rally retained bullish support, but derivatives traders remained divided on its next move.
Final summary
- EDGE gained 11% as spot capital outflows, positive funding rates and holder growth supported the rally.
- A Long/Short ratio of 0.84 revealed caution among derivatives traders despite broader bullish signals.
