IP Surges 97%: Crypto AI Project Tops Virtuals Protocol

Story [IP], a newly launched crypto AI project, has made waves in the cryptocurrency market with its impressive upside momentum. The project has secured a spot among the top ten crypto AI tokens, surpassing Virtuals Protocol [VIRTUAL]. At the time of writing, IP was trading near $3.42 and has witnessed a 97% surge in trading volume.

On-chain metrics reveal that exchanges have witnessed a consistent outflow of IP tokens, suggesting that investors and long-term holders are accumulating the asset. In the past 24 hours, exchanges have recorded an outflow of IP tokens worth $2.15 million. This significant outflow from exchanges could create buying pressure and drive further upside momentum, explaining today’s substantial rally.

Following this accumulation and price surge, intraday traders entered the market heavily, resulting in a 70% increase in IP’s Open Interest (OI). The rise in OI indicates that traders have increased their positions on both the long and short sides. Data from Coinglass revealed that traders betting on the long side are currently dominating the asset and are over-leveraged at the $3.134 level, holding $3.28 million worth of long positions. On the other hand, short sellers appear to be exhausted, as they are over-leveraged at the $3.276 level, with $1.54 million worth of short positions.

According to AMBCrypto’s technical analysis, IP appears bullish as the Average Directional Index (ADX) currently stands at 59, indicating strong momentum. The upward-sloping ADX line suggests that IP’s momentum is accelerating. However, despite ADX’s bullish trend, the four-hour chart indicates that the asset might experience a short-term price correction. Based on recent momentum, IP could see a 15% price drop, potentially reaching the $2.61 level in the coming days.