RENDER continued its uptrend, reaching a five-month high of $2.403, before retracing slightly.
At the time of writing, RENDER was trading at $2.35, up 17.06% on the daily charts. During the same period, the altcoin’s trading volume soared 294% to $245 million, a clear sign of strong bullish pressure.
The current price rise is largely due to growing demand in the AI sector. According to Santiment Intelligence, RENDER’s momentum primarily comes from the continued expansion of demand for AI infrastructure.
Over the past year, Render Network has expanded its GPU capabilities and infrastructure. These developments have attracted many users to the ecosystem.
Santiment noted that Render’s active addresses increased to 394, while 118 new wallets were created. As a result, both hit a 12-week high, reflecting strong network usage.
Speculative demand also hit the market
In addition to growing usage, traders have taken the opportunity to speculate. According to CoinGlass data, open interest jumped 62.7% to $125.2 million, while derivatives volume increased 166% to $364 million.
Such an increase in OI and volume showed increased market activity, with new positions opened, either long or short.
Meanwhile, RENDER’s Long/Short ratio increased to 1.8, with long positions accounting for 64% of total positions. This suggests that traders were optimistic and opened long positions in anticipation of further gains.
Profit taking increases, threatening the rally.
As RENDER hit a five-month high, investors, especially short-term holders, saw their profit margins increase. In fact, the Long/Short MVRV difference metric has fallen to a monthly low of -40%.
The indicator is in negative territory, suggesting that recent buyers are currently enjoying higher profits. At the same time, long-term holders have not yet returned to profitability.
This growing profit margin has caused some to withdraw their funds. Data from CoinGlass showed positive Spot Netflow, which remained positive for over a week.
At press time, Spot Netflow stood at approximately $2.3 million, with $30 million outgoing versus $32 million incoming. This suggests that sellers were active in the market; increased seller dominance often precedes a weakened market.
Can the increase hold?
As RENDER’s bullish momentum remains strong despite profit-taking, it is supported by high network utilization and market-wide speculative demand.
The altcoin’s Relative Strength Index (RSI) surged to 74, indicating a strong rise with buyers enjoying full control of the market. At the same time, the Momentum index rose to 0.5, once again confirming the strength of the trend.
Taken together, these two indicators suggest that the bulls have control of the market, a recipe for continued upside.
So, if market conditions hold, RENDER will break through resistance at $2.7 and aim for $3. If the market faces a rejection at the current level, a decline to $1.8 will follow.
Final summary
- Growing demand for AI infrastructure pushed RENDER above $2.40 as network activity and trading volume accelerated sharply.
- RENDER could target $3 if momentum continues, while a rejection near current levels could push the price towards $1.8.
