After several days of a brutal crypto market bloodbath, Dogecoin has returned to the green zone but has kicked off to a slow start as price shows decent gains over the last day.
While it appears that sentiments are shifting, the latest data from Coinglass shows a notable resurgence in DOGE’s 24-hour open interest volume.
DOGE rockets in open interest
As of June 23, Dogecoin has recorded a massive 6.89% surge in open interest as traders bet on the futures market tied to the leading meme coin.
It is important to note that open interest is measured by the collective value of futures contracts that have not yet been settled by traders. As such, the surge in DOGE’s open interest indicates that traders are betting big on the future price of the coin ahead, as sentiments appear to be turning bullish.
On the contrary, a decline in the token’s open interest would have indicated bearish activities among holders who are either closing up positions of their own volition or getting liquidated by their platform.
The data shows that investors have locked a massive 11.41 billion DOGE, worth over $1.80 billion, over the last 24 hours.
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Despite the persisting market volatility, the surge in open interest suggests that traders anticipate a massive price breakout for DOGE, which has shown a notable price increase of 5.45% over the last day.
Furthermore, the surge in open interest was followed by a spike in the token’s funding rate at 0.0004%, signaling a bullish momentum as buyers compensate sellers to maintain their positions.
Usually, an uptick in a token’s open interest is often followed by a bullish surge in the value of the token. This is evident in DOGE’s current market dynamic, as the token has seen its price surge to a high of $0.1566 after trading as low as $0.1498 prior to its open interest spike.
Gate.io shows highest DOGE confidence
Nonetheless, the ninth-largest cryptocurrency by market capitalization saw the highest level of bets happen on the popular crypto exchange, Gate.io, accounting for 31.56% of the total futures open interest on all exchanges.
According to the data source, DOGE investors have locked a massive $576.32 million in DOGE tokens on Gate.io.
This was followed by the world’s leading crypto exchange, Binance, and Bybit, carrying $368.66 million and $249.34 million in DOGE’s open interest, respectively.
