🌎 Ethereum Name Service Surges 15.62%, Faces Overbought Concerns

Ethereum Name Service (ENS) has shown significant gains, although data indicates the token may be overbought at its current price. ENS has increased by 15.62% in the last 24 hours, trading at $26.7 at the time of writing. This marks the second instance this month where ENS has exceeded the $26 threshold, a level last seen in January 2022.

Despite the recent price surge, ENS remains 69% below its all-time high of $85.69, recorded in November 2021.

The recent price rally has propelled ENS’s total market cap to $840 million, positioning it as the 82nd-largest cryptocurrency. Additionally, the asset’s daily trading volume has risen by 39%, currently standing at $227 million.

According to data from Santiment, ENS’s total open interest has increased by 27% over the past day, rising from $60.32 million to $76.45 million. A sudden increase in open interest often leads to higher price volatility due to increased liquidations.

Market intelligence data reveals that ENS’s aggregated funding rate decreased from 0.009% to 0.006% in the past 24 hours. The increased open interest is primarily attributed to a surge in short positions, indicating traders are betting on ENS’s price decline.

The Relative Strength Index (RSI) for ENS is currently at 61, suggesting the asset is slightly overbought and could be influenced by large investors. For ENS to maintain its bullish trend, its RSI would need to fall below the 50 mark.