ENS surges 15%, reaching the overbought zone

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.

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$ENS price, RSI, open interest and funding rate – June 19 | Source: Santiment

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.