- Kaia has recorded the highest market profit in the last 24 hours and overcame an important level of resistance.
- Analysis indicates that, despite low liquidity, Kaia still has a strong chance of continuing his rally.
In the last 24 hours, Kaia [KAIA] Placed the most important market stick, which came together by 14%, although it continues to fall 2.14% in its total monthly movement.
Despite the liquidity problems, analysts suggest that the market sentiment will remain optimistic and the upward momentum of Kaia will probably continue.
Liquidity skins, hint on a reduced network utility
From now on, Kaia will continue to receive liquidity challenges, whereby investors largely leave their bet positions.
Data shows that the total value (TVL), an important metric for measuring investor sentiment in blockchain ecosystems, has fell steadily.
Source: Defillama
After a peak at $ 32.49 million on April 23, the TVL has fallen consistently, without great recovery. It was $ 28.15 million, at the time of the press, which marked a decrease of $ 4.34 million from his peak.
It is interesting that this reduction in the deposits of investors coincided on Kaia -based protocols with a significant fall in commercial activity on decentralized fairs (DEXS).
At the time of this report, the trading volume has fallen from an annual highlight of $ 231,036 to only $ 74,811.
Source: Defillama
This sharp decline suggests that traders have left the chain, reducing the usefulness of Kaia and exerts downward pressure on its price.
In contrast to the Bearish indicators, the market reacted positively, with Kaia who registered a remarkable rally, even when traders came out.
The graph shows a bullish breakout, but RSI warns of …
Kaia’s recent rally followed his outbreak above a large level of resistance, according to the graph analysis.
This level was part of a broader falling market channel that usually precedes an upward market in the market.
After forming a series of lower highlights and lows, broken Kaia the resistance line and started climbing to the peak of the canal. This places the next potential price target in the range from $ 0.134 to $ 0.135.
Source: TradingView
Although this step further suggests upward potential, technical indicators show signs of exhaustion of buyers.
The relative strength index (RSI) confirms this, after he has crossed the overbought zone – Above 70 – and now at 79.17. This indicates the possibility of a sudden price correction.
On-chain statistics Flip Bullish traders double on Kaia
Despite the technical caution, market participants continue to open long positions, whereby open interest (OI) increases sharply in addition to the total trade volume.
At the time of writing, OIT had risen by 109%and $ 25.87 million reached.
Although this does not automatically guarantee a continuous rally, the analysis of the open interest weighted financing percentage, which has become positive, supports bullish expectations.
Source: Coinglass
A positive OI -weighted financing interest indicates that long traders are currently dominating the market and pay higher costs to maintain their positions.
Moreover, the long-to-thrower ratio is 1,0338, suggesting that buying pressure in derivatives markets outweighs sales activities.
The convergence of these bullish signals reinforces the case for the Kaia meeting to continue.