Why Is RAVE Coin Up 70% Today? Rising Open Interest May Hold the Answer

Key highlights:

  • RAVE surged while Bitcoin and the crypto market declined.
  • Open interest is up over 100% in the past 24 hours.
  • The rally comes months after RAVE crashed 90%.

RaveDAO’s native token,

Also, its trading volume looks very strong. Volume across RAVE markets also increased by 230% to about $480 million. Usually, when price and volume rise together, it suggests that there is strong momentum behind the coin, which means buying is on the rise.

Additionally, RAVE’s Long/Short Ratio on major exchanges remains well above 1. For example, on Binance, the ratio stood at 3.2 as of press time. This also means that investors holding bullish positions are more than bearish ones.

The rally comes just days after the RaveDAO team announced the resumption of deposits on the LBank exchange after its previous suspension.

CoinGlass data also shows that investors purchased approximately $2.2 million worth of RAVE over the last day. Although sellers also sold off around $1.79 million worth of tokens.

That leaves a positive net buying balance of $210,000. The figure seems modest, but it suggests that buyers currently have the upper hand.

RaveDAO still faces questions from earlier controversy

The new rally comes just months after the RaveDAO had a dramatic collapse. Back in April, the coin fell by 90% after major exchanges launched an investigation into the trading activity of the token. Binance and Bitget started the review after an extraordinary rally that pushed the coin’s market cap from $60 million to almost $6 billion.

At the time, blockchain investigator ZachXBT raised concerns about its token distribution and supply concentration. He pointed to transactions in wallets linked to the project’s initial token distribution. He said $23 million worth of the coin was transferred to an exchange and then sold off, which led to a price crash.

RaveDAO denied its involvement in all of this and stated that the team was not responsible for the market movements. Now, this new rally has raised eyebrows among investors, with some experts suggesting the same thing could happen, especially as no major announcements were made.

Source:: Why Is RAVE Coin Up 70% Today? Rising Open Interest May Hold the Answer