The cryptocurrency world is buzzing, and VIRTUAL memecoin is taking the spotlight after a remarkable 10% price increase within the last 24 hours. But while the asset is gaining traction, questions remain: Can this rally sustain, or is a price drop looming?
Key Drivers Behind VIRTUAL’s Growth
Liquidity inflows have been instrumental in boosting VIRTUAL’s price. Both spot and perpetual investors are showing interest. According to CoinGlass, Open Interest—a metric tracking unsettled perpetual contracts—surged by $28.4 million. Spot purchases hit a daily high of $1.11 million, indicating robust buying momentum.
Interestingly, on-chain data reveals that Spot Daily Active Users spiked to 5,900, highlighting increased trading activity. With a circulating supply of 655.6 million, demand is currently outpacing supply. This dynamic has propelled VIRTUAL forward, keeping the token in the green against potential headwinds.
Challenges on the Horizon
Despite the bullish outlook, VIRTUAL is approaching a critical supply resistance zone on the chart. Positioned between $1.38 and $1.41, this order block has previously caused a 16% price drawdown. If selling pressure intensifies at this level, VIRTUAL could test the $1.20 price region, bringing double-digit losses for holders.
However, if the token can break through this resistance, it may establish a strong foothold for a prolonged rally. For traders, this is a pivotal moment to monitor market sentiment and activity.
Should You Consider Investing?
Whether you’re new to cryptocurrency or a seasoned trader, understanding market dynamics is crucial. If you’re keen to track your investments or analyze emerging opportunities like VIRTUAL, consider using a reliable portfolio tracker. For instance, check out CoinTracker for an efficient way to manage your crypto portfolio and make data-driven decisions.
As always, investing in cryptocurrencies, including memecoins like VIRTUAL, carries risks. Conduct thorough research and consider consulting financial experts to align your investments with your personal goals.
