Stacks broke out of a multi-month downtrend after rebounding from a $0.25 low last week. The move drove a 23% rally from $0.30 to a two-month high of $0.37 before a mild pullback.
That advance respected higher lows and formed an upside continuation structure on the chart.
At press time, Stacks [STX] traded near $0.35, up 10.2% on the daily chart. Trading volume rose 52% to $84 million, while market capitalization crossed $600 million.
That surge raised one question: can the momentum hold?
STX futures traders pile in
Stacks saw a sharp shift in Futures positioning as upside momentum strengthened. Traders deployed fresh capital to directional positions as price reclaimed key levels.
According to CoinGlass, Open Interest climbed 10% to a three-month high of $27 million. Derivatives Volume also rose 31% to $137 million over the same period.
That move aligned with a $41 million increase in Futures Flows, signaling rising participation.
On top of that, Funding Rates Aggregated by Exchange flipped positive to 0.005%. That shift suggested long positions dominated as traders paid to stay bullish.
Buyers defend higher levels
Besides the Futures activity, aggressive demand entered the market, suggesting genuine accumulation rather than a short-lived bounce.
Buyers’ rising dominance evidenced this behavioral shift. Buyers vs Sellers data showed buyers clearly in control. Net Dominance rose 17%, with buyers at 2.07 and sellers falling to -2.99.
With aggressive buying stepping in, the momentum decisively shifted to the bullish side, signaling the strength of the current trend.
Coupled with that, Stacks Accumulation/Distribution Volume surged to 6.3 million, with total Volume hiking to 7.3 million.
This implied that massive capital flowed into stacks, suggesting that buyers committed substantial capital to the asset. Importantly, expanded Volume signaled buyers’ strength and suggested a forming upside continuation.
Just a bubble or a sustainable upside move for STX?
Stacks made a strong bullish move as Futures demand soared, with buyers stepping in to defend higher levels. As a result, the altcoin’s Stochastic Momentum Index (SMI) rose to 68, reflecting strengthened upward momentum.
Typically, when the momentum indicator surges deep into the bullish zone, it suggests a buyer-driven trend. Thus, if the demand holds, the upside is likely to continue.
If that setup holds, STX could flip $0.40 into support and target $0.45 next. The Fibonacci Bollinger Bands midline near $0.52 marked stronger overhead resistance.
However, profit-taking by holders underwater since November could stall the rally. In that scenario, price could revisit the $0.308 support zone.
Final Thoughts
- Stacks’ breakout was driven by rising futures participation, with Open Interest and Funding Rates flipping bullish.
- At the same time, spot buyers stepped in aggressively, confirming demand beyond leveraged positioning.
