DEXE eyes $10 comeback – But THIS hints at a reversal risk

Key Takeaways

DEXE continues to attract inflows from perpetual market investors, with spot market participants now joining the trend. However, volume analysis does not support the current price action.

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DeXe [DEXE] led the market gains in the past 24 hours, climbing by 8.43%. This performance isn’t unusual for the asset, which has consistently maintained bullish momentum week after week.

According to CoinMarketCap, DEXE was trading at $8.31 at press time.

This upward push has been fueled by renewed interest from both perpetual and spot investors. However, weakening volume casts doubt on the sustainability of this rally, raising the possibility of a price pullback.

Perpetual market adds liquidity to DEXE

DEXE’s gains come amid growing liquidity in the perpetual trading sector. Data from CoinGlass revealed that the asset had seen a notable inflow of at least $1.7 million through the perpetual market.

This influx, alongside rising prices, suggested a market bias favoring the bulls.

The Open Interest-Weighted Funding Rate provided further insight—it has remained positive since the 21st of July, signaling continued bullish sentiment in the perpetual market.

This trend aligns with DEXE’s four-week bullish streak.

For the first time in several days, spot investors have begun accumulating DEXE again. A 12-hour chart shows that $26,700 worth of DEXE was purchased on the spot market.

If this accumulation trend continues, DEXE could be on track to reclaim the $10 mark sooner than expected.

While sentiment around DEXE remains bullish, momentum across the broader market appears to be waning.

Could a correction be near?

Volume-based analysis shows that DEXE is experiencing declining momentum, which may lead to a price drop.

At press time, trading volume had decreased by 34%, falling to $14.5 million—a $4.93 million drop in just 24 hours.

Typically, when volume declines while price rises, it suggests that the rally lacks strong trader support and could reverse.

Interestingly, the Accumulation/Distribution (A/D) indicator reflects this cautionary outlook—with a twist.

At press time, A/D remained in negative territory, with negative volume totaling 2.17 million DEXE. However, the indicator is trending upward, signaling a possible shift into the positive zone.

If this happens, DEXE could see a fresh bullish recovery. But if the trend turns downward, it would suggest that selling pressure is once again in control.