IMX Price Rally Faces Risks Despite 105% Volume Surge

Immutable's IMX token has seen a significant price surge of 13% over the past day, according to recent market analysis. This uptick in value is not isolated and is supported by a substantial increase in trading volume.

According to CoinMarketCap, the current trading volume for IMX has risen by over 105% to $30 million at the time of this analysis. The majority of this volume is driven by three exchanges: HTX, Binance, and Upbit, which collectively account for more than 30% of IMX's market volume.

The presence of HTX and Upbit suggests that Asian investors are currently driving a significant share of the trading volume for IMX. Furthermore, the Open Interest-weighted Funding Rate, an indicator that combines Open Interest and the Funding Rate, remains positive at 0.0040%. This indicates that long traders have a large dominance over short positions.

However, despite this bullish positioning, spot selling and higher long liquidations remain key risks that could limit IMX's continued upside. The spot Netflow reached $364,000 in the past day, with investors capitalizing on gains, while more long positions were liquidated than short positions over the past 24 hours.