Metrics used: trading volume, active addresses 1h, funding rate, total open interest.

Chart layout

Holding alts has been an exercise in futility for the better part of the last 3 years. But then, when all hope is lost, comes a short glimpse of glory when those coins provide bountiful gains for those who were able to preserve their capital and sanity.

These days, the glory is upon those who has been holding ENA. The coin is up almost 2x in the last 4 days, after the famous US treasury announcement that spiked a market-wide rally in crypto.

Let's examine how the underlying data looks like and what we can infer from it for the future price predictions.

Trading volume - up more than 8x from the baseline level, typical for a coin that rallied almost 100% in under a week. Healthy.

Coin-denominated open interest - up from around 1.3 billion to 1.75 billion - also typical, slightly concerning.

Funding rate - steadily at baseline, which in the current market regime usually means longs are prevailing. Nothing crazy, about the same level of concern as open interest.

Active addresses - parabola up, healthy network activity supporting the price direction.

So far the rally looks strong, and the underlying data supports it. Of course, the parabola can't sustain forever, and there's likely to be pullbacks, but so far this doesn't look like an immediate reversal. If you were looking for it though, it's a good idea to wait for a) price weakness - forming a range, lower highs b) metrics start deviating from the price, e.g. price keeps pushing higher but the network activity is sagging.