Key Points to Note
SPX6900 surged by 12.38% to $1.5 before experiencing a significant drop to $1.39 at the current moment. Whales sold off 1.16 million tokens, while retail traders continued to accumulate.
SPX6900 [SPX] saw a 12.38% increase, reaching a peak of $1.510 before retracting to $1.39 at the time of writing.
During the same period, the trading volume of the memecoin surged by 124.9% to $83 million, and the market cap rose to $1.4 billion.
When both volume and market cap rise together, it indicates growing capital participation and stable capital inflow.
SPX: Retail Investors Enter the Scene
Following a dip to $1.2, small-scale investors jumped in to purchase SPX6900, resulting in an increase in demand and subsequently driving up prices.
According to CoinGlass, SPX6900 has reported negative Spot Netflow for six consecutive days.
On August 23rd, the Netflow of the memecoin dropped to -$1.16 million, indicating higher outflows from exchanges compared to inflows.
A negative Netflow suggests higher buying pressure on exchanges, often leading to higher prices.
Whales Display Bearish Sentiment
Interestingly, as prices recovered from the recent decline, SPX6900 whales began cashing out. According to Nansen, whales sold off 1.16 million SPX tokens and only acquired 397.7k tokens.
As a result, the Balance Change of top holders turned negative, reaching a low of -795k, indicating a higher outflow relative to inflow and a clear signal of aggressive selling.
Derivatives Betting Against SPX
Despite the price increase, most market participants rushed to bet against the market, as per derivatives data.
According to CoinGlass, SPX’s Derivatives Volume surged by 166.6% to $291 million, while Open Interest rose by 12% to $128 million.
When these two metrics increase together, it signals higher participation and capital influx into the Futures market.
Meanwhile, the Long/Short Ratio dropped to 0.843, with shorts accounting for 54% and longs for 45.7% of total Futures contracts.
When shorts dominate the Futures market, it indicates bearish sentiment and active bets for a price decline.
Is the Uptrend Sustainable?
According to analysis by AMBCrypto, SPX rebounded as retail traders entered the market to buy the dip.
However, the memecoin retraced significantly as whales cashed out while derivatives remained bearish.
In such a scenario, the Relative Strength Index (RSI) of the memecoin showed a bearish crossover, dropping from 46 to 43. Additionally, the MACD declined to -0.091, confirming weak buying pressure.
When these momentum indicators align in this way, it suggests weak upward momentum with dominant weak hands in the market.
If current conditions persist, especially with whales selling off, SPX6900 is likely to drop to $1.21.
However, if market sentiment among larger entities changes while retail investors hold their positions, SPX may reclaim $1.5 and target the $1.7 resistance level.
following sentence: “I will go to the gym tomorrow.”
Rewritten sentence: “Tomorrow, I am going to the gym.”