Ethereum Name Service (ENS) has recorded impressive gains while data shows the token is overbought at this price point.
ENS is up by 15.62% in the past 24 hours and is trading at $26.7 at the time of writing. This is the second time this month that ENS has surpassed the $26 mark — a level last seen in January 2022.
Despite the price surge, ENS is still down by 69% from its all-time high of $85.69 in November 2021.
Following the price rally, the total market cap of ENS surged to $840 million, making it the 82nd-largest cryptocurrency. The asset’s daily trading volume also increased by 39%, currently hovering at $227 million.
According to data provided by Santiment, the ENS total open interest increased by 27% over the past day — rising from $60.32 million to $76.45 million. A sudden surge in open interest usually leads to higher price volatility due to increased liquidations.
Data from the market intelligence platform shows that the total funding rate aggregated by ENS declined from 0.009% to 0.006% in the past 24 hours. The chart shows that the increased open interest mostly came from a surge in the amount of short positions — traders who are betting on ENS’ price fall.
Per Santiment, the ENS relative strength index (RSI) is currently hovering at 61, showing the asset is slightly overbought and could be manipulated by large whales.
For ENS to remain in the bullish zone, its RSI would need to cool down below the 50 mark.
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