Lab Price Crashes by Over 13% Amid Technical Rejection and Revenue Collapse

Lab's price plummeted by over 13% in the past 24 hours as it faced rejection at the $0.15 level, extending its previous day's downtrend. The selling pressure was driven by high trading activity, with daily volume spiking by 335% to around $50 million. This extreme trading activity and heightened speculative interest were further reinforced by a high volume-to-market cap ratio of 81%. Technical price rejection at the mid-level of the sideways range between $0.1264 and $0.1726 also played a significant role in this downturn.

The Open Interest (OI) was rising as the price fell, indicating traders were short selling the asset, with an OI standing at more than $124 million. Additionally, the Cumulative Volume Delta (CVD) showed 2.61 million LAB tokens had been distributed as the altcoin tested the $0.1270 support level.

KuCoin's selling of LAB tokens from their hot wallets also contributed to the high selling volume. The protocol's revenue collapse from a daily high of $191K in September to around $6.20K further amplified this decline. Long liquidations have also spiked, with $513K wiped out against $44K in short orders.

However, despite these losses, top traders on Binance joined in buying the dip, with the long/short ratio climbing to 3.72, signaling a potential recovery.