More than 4.37 million AERO has been withdrawn from exchanges during the price surge, indicating short-term profit-taking activity.
The sustainable upward trend depends on the Funding Rate turning positive and the accumulation pressure from large investors being consistently maintained.
Aerodome Finance [AERO] has recorded one of the strongest price surges in the past 24 hours, increasing by 20% to become the best-performing token of the day.
However, while the breakout attracts attention, the ability to maintain this momentum remains in question. Some foundational signals indicate fragility, although the optimistic sentiment is still high.
Traders are struggling to maintain AERO's upward momentum
Initially, the positive momentum seemed clear, but the futures positioning tells a different story.
The average Funding Rate based on open interest of AERO remains negative during this price surge.
This is quite unusual. Typically, sudden price surges would cause this rate to turn positive when the buying side dominates.
Source: CoinGlass
This negative rate indicates that AERO's recent price surge is not entirely based on the actual buying power of investors. In the past 24 hours, the number of long positions has exceeded that of previous days.
The spot market is also not providing much support.
Net capital flow data on centralized exchanges shows the amount of tokens flowing in and out, reflecting this trend.
Source: CoinGlass
In the past 48 hours, the selling activity of traders has increased, with more than 4.37 million AERO moved out of the market.
However, since this sell-off occurs during an uptrend, the likelihood is that it is only temporary. This opens the opportunity for the bulls to return if the upward momentum continues to assert itself.
Strong buying activity of AERO…
Analyzing the technical indicators of accumulation and volume shows clear signs of buying pressure.
The Accumulation/Distribution (A/D) index has reversed strongly, improving from -15 million to -6.5 million. This corresponds to a net profit of about 8.5 million USD, indicating a clear shift towards accumulation.
Source: TradingView
At the same time, the Chaikin Money Flow (CMF) index has risen to 0.29 – a positive reading supporting this new buying force.
This pair shows that large capital flows are strongly entering AERO, suggesting that whales are still accumulating new positions in the project.
Investment confidence is rising but still raises questions
At this point, the data shows a significant increase in investor sentiment, with the Community Sentiment Index rising to 89%.
This means that 89 out of every 100 AERO investors are currently buyers. This positive sentiment increases the likelihood that the upward momentum will continue.
Source: CoinMarketCap
However, excessive optimistic sentiment without accompanying stable price structure could be a sign of overbought conditions, leading to the potential exhaustion of further upward momentum.
However, if enough new demand flows in, this growth phase could extend further before encountering significant correction levels.
Source: https://tintucbitcoin.com/aero-tang-20-chua-chac-ben-vung/
Thank you for reading this article!
Please Like, Comment, and Follow TinTucBitcoin to stay updated on the latest news about the cryptocurrency market and not miss any important information!
