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Date: 2025-02-27 09:38:49
On February 27, KAITO cryptocurrency experienced a significant surge of 41.5%, outperforming the overall crypto market, which dropped by 4.1% within the last 24 hours.
Based on information from crypto.news, Kaito (KAITO) reached an intraday peak of $2.52, causing its market capitalization to rise from $440 million to over $600 million at the time of reporting. This price hike took place amidst heavy trading activity, with daily trading volume increasing twofold in the past day, amounting to over $1.97 billion.
KAITO's impressive growth was preceded by a surge in demand from its derivative traders. CoinGlass data reveals a nearly 66% rise in open interest in the KAITO futures market, setting a new all-time high of $192 million.
Simultaneously, its weighted funding rate is rebounding from negative values, indicating that traders are becoming increasingly optimistic, potentially seeking profit opportunities.
The AI-based altcoin gained attention following the release of positive Q4 results by AI chip giant Nvidia, with its revenue increasing by 12% compared to the previous quarter and 78% year-over-year. Typically, AI-related cryptocurrencies benefit from Nvidia's success. Along with KAITO, MyShell (SHELL) rose by 27%, and CARV (CARV) skyrocketed by 68%.
Moreover, whales have expressed interest in the token. Data from Arkham shows that an unidentified whale wallet purchased $1.39 million worth of KAITO. The same whale sold more than 110,000 airdropped KAITO tokens the previous week.
Whale activity is frequently perceived as a positive sign by retail investors, which likely contributed to today's rally.
A number of technical indicators have indicated bullish trends. On the 4-hour KAITO/USDT price chart, KAITO has been creating higher highs and lower lows, suggesting that buying pressure is considerably stronger than selling pressure.
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Additionally, KAITO has successfully broken through the $2.1 resistance level, which it was unable to overcome three times in February.
The Aroon Up indicator at 100% and Aroon Down at 21.43% confirm robust buying pressure, signaling a prevailing uptrend. Meanwhile, the Relative Strength Index remains at 82 for the second consecutive day, indicating sustained bullish momentum, often an indication of potential further gains.
Market experts have also shared optimistic predictions. According to trader Team LAMBO Charts, KAITO has broken out of a bull flag pattern and has set a price target of $3, provided it first retraces to $2. Should KAITO reach $3, he anticipates it will continue to rise, potentially hitting $5 in the long run.
Another trader, CryptoBull_360, predicted a similar price target, noting that the altcoin has broken out of a symmetrical triangle pattern, another bullish sign on the 1-hour chart.
Disclosure: This article is not intended as investment advice. The content and materials provided on this page are for educational purposes only.