VIRTUAL tumbles 12% amid $1M outflows and bearish derivatives shift

VIRTUAL experienced a sharp 12% drop within 24 hours, driven by $1 million in outflows and widespread selling in both spot and derivatives markets. The move marked one of the steepest declines for the asset in recent months and placed it among the worst-performing altcoins, with a 28% drop on the Altcoin Season Index [1]. The sell-off intensified bearish sentiment, as funding rates across leading exchanges turned negative, signaling a shift in market positioning [2].

The OI-Weighted Funding Rate for VIRTUAL dropped to -0.0184%—the lowest since late June, when the asset had previously seen a major price correction. This metric confirmed that bearish positions now dominated open contracts, reinforcing the likelihood of further downward pressure [3]. Similarly, the volume-based Weighted Funding Rate also turned negative, reflecting weakened bullish momentum and a strengthening grip by short sellers [4].

Spot market data from Arkham Intelligence showed that the top three centralized exchanges—Binance, Bybit, and OKX—had funding rates of 49.1%, 28.0%, and 26.1% respectively, indicating that liquidity was increasingly skewed toward bearish movements. The continued outflows from these platforms further reduced the likelihood of a near-term price rebound [5].

Despite the sharp decline, the VIRTUAL price chart showed a neutral sentiment at press time. The asset had previously attempted to reclaim a bullish triangle pattern but failed, leading to a drop toward a key support level at $1.16. A successful rebound from this level could signal a potential recovery, but a break below it would likely trigger another round of selling with no immediate support to cushion further losses [6].

The sell-off has raised questions about the strength of VIRTUAL’s bullish momentum and the sustainability of its recent rally. While bulls may attempt to stabilize the price, the current market dynamics strongly favor bears, with derivatives and spot investors collectively reinforcing the downward trend. The path forward will depend on whether long-term holders and market makers step in to absorb selling pressure or if the current bearish momentum continues unchallenged.

Source: [1] VIRTUAL falls 12% in a day after $1M outflows – Can bulls recover? (https://ambcrypto.com/virtual-falls-12-in-a-day-amid-1m-outflow-can-bulls-recover/)

[2] VIRTUAL falls 12% in a day after $1M outflows – Can bulls recover? (https://www.coinlive.com/news-flash/872268)

[3] Coinspeaker's Profile (https://www.binance.com/en/square/profile/coinspeaker)