Kaspa (KAS) reached a new all-time high in price

On-chain price performance analysis of Kaspa (KAS) states that traders continue to show strong demand for the altcoin.

Currently, the relative strength index (RSI) of Casp is around 53 and trending upwards. The RSI, an impulse oscillator, measures the overbought and oversold conditions of an asset on a scale of 0 to 100. Values ​​above 70 suggest the asset is overbought and may undergo a correction, while values ​​below 30 indicate it is oversold and may recover .

With an RSI of 53, Kaspa is experiencing buying pressure from market participants. This shows that the recent price increase is supported by real demand, which is crucial to sustain the rally.

With Kaspa recently reaching an all-time high, many futures traders have started to open short positions, as indicated by the recorded negative weighted funding rate of -0.0085%. The funding rate on perpetual futures contracts is used to keep the contract price close to the spot price. A negative result means there is more demand for short positions, suggesting more traders expect the asset's price to decline.

When the price of Kaspa corrects from its peak, it leads to the liquidation of many long positions. On June 30, the value of such positions liquidated reached $586,220, the highest one-day liquidation since March 16. The sharp increase in long liquidations suggests that many traders who had bet on a continued price rally were forced out of their positions when the price unexpectedly fell. This type of market reaction highlighted Kaspa's volatility and highlighted the risks associated with altcoin trading.

Overall, the evaluation of the chain shows that despite the recent price correction and liquidations of long positions, Kaspa continues to attract significant interest from traders. At the time of writing, the cryptocurrency is trading at $0.018, reflecting an 8% drop over the past 24 hours. On the other hand, for the same time period, the volume of trade has grown by over 40%.