Reserve Rights cryptocurrency, also known as RSR, has shown an impressive surge in its value over the last day, breaking through to reach its highest point in two years at $0.0269. This altcoin has seen a consistent upward trend over the past month.
During the same period, trading volume skyrocketed by 1658.79%, hitting $1.83 billion. The total volume has now reached an all-time high of $4.11 billion.
With this notable increase, there arise questions regarding the sustainability of this upward movement and the factors driving it.
One significant driver behind this surge is the ongoing speculation surrounding the potential appointment of Paul Atkins as the next chair of the U.S. Securities and Exchange Commission (SEC) in the upcoming Trump administration.
Post the U.S. election, this topic gained traction, with Polymarket indicating a 74% chance of Atkins being selected. This speculation has contributed to the positive sentiment around Reserve Rights.
Is the Rally Sustainable for RSR?
An analysis by CryptoCrypto suggests that RSR is currently on a sustained upward trajectory, accompanied by strong bullish sentiment.
Investor confidence in the coin is evident from the growing number of new positions being taken. Data from Coinglass reveals that the open interest in Reserve Rights has surged by 223% to reach a record high of $125.4 million, aligning with the rising trading volume.
Moreover, there has been a significant increase of 3369.23% in large transactions for the altcoin, hitting a yearly peak of 451. This spike indicates that major holders are entering the market, believing in the potential of Reserve Rights.
The surge in open interest is a clear indication of these large investors taking long positions on the coin.
Furthermore, the daily active addresses for Reserve Rights have seen an 861.73% surge in the past day, reaching a yearly high of 6.54k. The rise in active addresses signifies a growing demand, interest, and adoption of the cryptocurrency.
These indicators suggest that the surge in price is grounded on strong market fundamentals rather than mere speculation, which is crucial for a sustained upward trend.
Given the increased market participation and capital inflow, Reserve Rights is well positioned for further gains on the price charts. Should the current conditions persist, RSR is likely to aim for its next target of $0.03.
However, a loss of buyer momentum could lead to a decline in RSR’s price to $0.0190.