- Mog Coin price rallied 117% in a week as buyers chase momentum after a breakout from a 4-month downtrend.
- Short-term holders offload 1.25 trillion tokens, raising the risk of a pullback if buyer demand fails to keep up.
Since crypto recovered days ago with Bitcoin rallying past $100k, memecoins have benefited the most.
One of the top-gaining memecoins is Mog Coin [MOG].
In the last seven days, MOG jumped from $0.00000053 to a 4-month peak of $0.00000128—before slightly retracing.
At press time, the memecoin traded at $0.000001195, still posting a 9.32% gain in the past 24 hours. Weekly gains stood at 117.63%.
Open Interest heats up
Amidst this price pump, the memecoin’s Open Interest also surged to hit a four-month high of $1.05 million.
Usually, a rise in price while Open Interest is rising implies that investors are actively participating in the market, either taking long or short positions, awaiting the next move.
Source: CoinGlass
However, the Funding Rates told a clearer story. According to Santiment, they flipped positive, confirming dominance from long traders.
Source: Santiment
Interestingly, there’s a significant capital inflow, with buyers entering the market to take strategic positions.
For the first time since the Mog Coin’s price rally started, the memecoin has recorded more withdrawals than inflows, as the Spot Netflow dropped to -345k.
Source: CoinGlass
That means more MOG tokens left the exchanges, indicating accumulation and growing scarcity in liquid markets.
In fact, Mog Coin’s Stock-to-Flow Ratio surged to 5842.62, indicating fewer tokens available for sale, likely now held in cold storage.
Source: Santiment
With Accumulating Addresses rising in the market, it reflects strong bullish sentiments as investors expect prices to continue with the uptrend.
Can the Mog Coin uptrend continue?
Although Mog Coin is experiencing strong upward momentum, the memecoin is facing a major challenge.
Amidst the price upsurge, short-term holders, who have been at a loss since February, are now within profitable margins.
The rising profitability has resulted in extreme profit-taking from the cohort.
Within 24 hours, this group sold 1.25 trillion tokens. In contrast, only 915.4 billion MOG were absorbed by new buyers.
Thus, this profit realization could put significant pressure on the memecoin.
Source: Coinalyze
Inasmuch as so, if the profit realization continues, the Mog Coin will fail to sustain the uptrend and retrace.
A pullback from here will see the memecoin at $0.00000097. However, if the upward momentum with buyers absorbing pressure from STHs sellers, we could see MOG attempt a run towards $0.00000143.