ENS surges 15%, reaching the overbought zone

While Ethereum Name Service (ENS) is posting impressive gains, data shows that the token is overbought at this price point.

ENS is up 15.62% in the last 24 hours and is trading at $26.7 at the time of writing. This is the second time this month that ENS has surpassed the $26 barrier; This level was last seen in January 2022.

ENS price, RSI, open interest and funding rate – June 19 | Source: Santiment

Despite the price increase, ENS is still down 69% from its all-time high of $85.69 in November 2021.

Following the price rise, ENS’s total market cap rose to $840 million, making it the 82nd largest cryptocurrency. The asset’s daily trading volume has also increased by 39% and is now at $227 million.

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

Data from the market intelligence platform shows that the total funding rate collected by ENS has decreased from 0.009% to 0.006% in the last 24 hours. The chart shows that increased open positions are mostly due to an increase in the amount of short positions; traders are betting that the price of ENS will fall.

According to Santiment, the ENS relative strength index (RSI) is currently trending at 61, indicating that the asset is slightly overbought and could be manipulated by big whales.

For ENS to remain in the bullish zone, the RSI must cool below the 50 level.