The native token of the decentralized exchange (DEX) aggregator, 1inch (1INCH), has experienced an impressive surge of over 58%, accompanied by a surge in trading volume, reaching $597 million – the highest level since October 2021.
CoinGlass data also reveals that leveraged 1inch short positions worth $3.37 million were liquidated in the past 24 hours.
Although there is no immediate news catalyst for this rally, it appears to follow the uptrend set by XRP after its legal victory against the SEC. The rise in XRP’s value led to further movements in assets like Solana, Cardano, and Polygon.
Coinalyze data shows that the open interest across 1inch trading pairs has risen significantly from $14 million to $125 million, suggesting that the rally has been influenced by futures markets.
However, this has created a fragile market dynamic as market depth remains relatively low compared to trading volume.
The buy-side market depth of 1inch on Binance currently stands at $226,272, which could potentially lead to long position liquidations.
Blockchain sleuth lookonchain noted that one particular 1inch investor transferred 7 million tokens worth $3.7 million to Binance, resulting in a subsequent 4.4% fall in price in the following minutes.
Despite this price dip, 1inch is still trading at $0.505, representing a 23.8% increase in the past 24 hours, although some gains were lost on Monday morning.
Between 9:00 am UTC on Sunday and 9:00 am UTC on Monday, 1inch achieved an impressive 58.26% surge, as reported by TradingView.
