Algorand skyrockets 33%! But why do traders keep betting against ALGO?

Key Points

1. Algorand's price surged 33.68% in 24 hours, reaching a 4-month high of $0.31, with market cap rising to $2.5 billion and trading volume up 357.45% to $762.75 million.

2. Buy volume exceeded sell volume for two consecutive days, indicating aggressive spot demand, with a positive delta of 791.88K and 13.24 million respectively.

3. Derivatives activity heated up, with Open Interest rising 54.85% to $163.36 million and Derivatives Volume surging 574.91% to $980.9 million, but the Long/Short ratio of 0.9837 suggested a tilt toward short bets.

4. Exchange Netflow data showed profit-taking, with a peak of +$3.14 million on July 13, later dropping to +$480k by press time.

5. Technical indicators like RSI (83.18) and Stochastic RSI (100) signaled overbought conditions, warning of potential volatility, with possible price targets of $0.34 if bullish momentum continues or $0.25 if sell pressure persists.