Summary
- Glassnode reported that Toncoin (TON) perpetual futures open interest surged about 33% in the past 24 hours.
- This is the highest level since February 18, and in the past, sharp rises in open interest have often preceded price corrections.
- A rise in open interest suggests the possibility of increased market volatility, so caution is needed regarding short-term direction.
Open interest in the derivatives market for Toncoin (TON) has surged sharply, raising the possibility of increased volatility.
On the 29th (local time), on-chain data analytics platform Glassnode stated via X (formerly Twitter) that "in the past 24 hours, the open interest in Toncoin perpetual futures has surged by about 33%, from $143 million to $190 million." According to Glassnode, this is the highest level since February 18.
Glassnode noted, "In the past, such sharp rises in open interest have often preceded price corrections," and pointed out that "caution is needed regarding the short-term direction of the Toncoin market."
An increase in open interest means that funds are flowing into the market. Generally, as open interest rises, the potential for increased price volatility also grows.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
