- The JTO meeting was powered by derivatives traders on the market, because they continue to open more long contracts.
- Sellers still retain their attitude; However, analysis shows a clear path for a potential profit of 30% for JTO.
Jito [JTO] Registered the highest profit in the market after an increase of 18% in the last 24 hours and placed it for other assets.
Ambcrypto analysis revealed at the time of writing that JTO still has a rally potential, provided that certain conditions remain in force and sellers shift their sentiment.
Futures traders stimulate JTO’s movement
Analysis showed that the meeting of JTO was mainly powered by traders on the market for derivatives because they continue to open long positions.
The open interest -rate financing percentage served as an indication of where it will probably act.
Source: Coinglass
At the time of the press, the open interest weighted financing percentage gave a negative reading of -0.0054% while he was up trending.
This suggests that an increased purchase activity is currently pushing the metric closer to a positive area.
If JTO crosses the positive zone, this would indicate the beginning of another wave of buying activity, which makes it possible to be actively higher.
Analysis also showed that the total value of contracts on JTO was at $ 77.98 million – an increase of 66.93% – largely driven by long traders.
Source: Coinglass
A constant increase would imply that investor interest in the purchase of the asset, which could lead to a more important rally on the graph.
At the time of writing, the Purchase Volume of JTO supported its rally potential, in which the Taker Buy/Sell Ratio lecture on 1.03 read.
When the Taker Buy/Sell Ratio is higher than 1.0, this indicates that buying activity outweighs the sale on the market.
Will the sales pressure stop the rally?
During the press there is an increase in the spot market sales, a trend that has been going on for the past four days.
The last two days have seen the most intense activity, because sellers for $ 1.92 million to actively loaded, which adds downward pressure to his price movement.
Source: Coinglass
Nevertheless, the market reaction has remained positive and it actively continued its upward trend. In fact, JTO was recently broken from an uphill channel – a bullish pattern.
This breakout usually acts as a catalyst for further upward movement. In this case, JTO rose by 30% to reach $ 2.95.
Source: TradingView
Bot investors could play a decisive role in the overall rally if they start collecting the asset rather than selling.
Jito’s development activity increases speculation
Jito recently announced the launch of the Jitosol/Sol insulated pool on the drift protocol. With this upgrade, investors can use Jitosol – a liquid strike and earn JTO.
At the time of writing, the swimming pool had $ 2.36 million in value. If investors increase their deployment activity, more JTO will be distributed.
If those investors choose to keep their JTO instead of selling, this would reduce the circulating supply, strengthen the current bullish sentiment and increase the demand for actively.