SPX6900 Surges 1.352% as Shorts Face $680,000 Liquidations

SPX6900's latest price was $1.61, up 1.352% in the last 24 hours. This surge has led to heavy losses for short traders, as the market has been unfavorable for sellers over the past 24 hours. The liquidation analysis revealed that over $680,000 worth of short contracts have been forcefully closed, indicating that traders were caught off guard by the sudden price movement. This situation often signals strong movement in the opposite direction, reinforcing the ongoing upside push. The Open Interest reached an all-time high of $143 million, confirming aggressive capital inflows into SPX futures. The majority of liquidations came from shorts, while long exposure steadily increased, further supporting the upward momentum.

At the time of reporting, 82% of traders were long on SPX, showing an overwhelming tilt towards bullish sentiment. While this indicates confidence in the market, such skewed positioning can quickly become fuel for the opposite move. Funding data also showed that long traders are paying a premium fee at regular intervals, which is often aligned with the dominant market direction. These funding fees help balance the spot and futures markets by encouraging parity between long and short positions. The steady support from both markets suggests the potential for a continued rally. However, market data highlights liquidity clusters below the current price as a potential threat. These clusters often act as magnet zones, where prices are likely to move to fill unmet orders. While they can serve as support levels, their positioning below the current price increases the likelihood of a downward move. CoinGlass heatmaps reveal dense Liquidity Zones between $1.45 and $1.51. These unfilled orders may act as magnets, pulling prices back to fill gaps before further continuation. If SPX slides into this pocket, it could trigger cascading liquidations, especially given the stacked leverage in current longs.

The SPX6900 token continued its strong uptrend on Wednesday, reaching its highest point since January. This surge has pushed its market capitalization from $275 million in March to $1.4 billion. The SPX token surge coincided with ongoing whale accumulation. Nansen data shows that whales now hold 105.29 million coins, up from 104 million on May 13 this year. Similarly, public figure holdings of the SPX token rose to 31.97 million, up from 31.9 million on June 2. The SPX6900 token jumped as daily active addresses climbed to 2,075, the highest level since January 25. They have increased from less than 1,000 last week. Additionally, the supply of SPX on exchanges dropped to 90.21 million, down from the year-to-date high of 92.7 million.

The twelve-hour chart shows that the SPX6900 price bottomed at $0.2600 on March 11. It has moved above both the 50-period and 25-period Exponential Moving Averages. The Relative Strength Index has continued rising, reaching the overbought level at 74, a sign that momentum is continuing. Further, the Average Directional Index has surged to a record high of 56. A rising ADX is typically a sign that the trend is gaining strength. SPX price is forming a cup-and-handle pattern, with the upper boundary at $1.8725. A cup-and-handle is a popular continuation indicator. Therefore, the token will likely continue climbing as bulls target the key resistance at $1.8725, up by 16% from the current level. A drop below the 50-period moving average at $1.0795 would invalidate the bullish outlook.