VIRTUAL, the native token of Virtuals Protocol, experienced a powerful breakout over the last 24 hours, rallying by 10.48% amid a surge of activity from both spot and derivatives traders. This sudden price spike came at a time when the broader crypto market faced downward pressure, suggesting that the asset might be entering a bullish phase fueled by renewed investor optimism.

The recent rally didn’t happen in a vacuum. Data from the past week points to a steady accumulation trend in the spot market. Spot traders collectively spent over $10.45 million acquiring VIRTUAL, indicating high conviction buying even as other assets struggled to hold their ground. This kind of aggressive spot market activity is often seen as a strong bullish signal, especially when it occurs during market pullbacks.

Meanwhile, derivatives markets mirrored the enthusiasm. Open Interest, which measures the value of active futures contracts, surged to $230 million in the last 24 hours. This represents a 13.3% increase, pointing to growing confidence among traders willing to bet on VIRTUAL’s short-term price movements. The rise in Open Interest suggests that more traders are entering or increasing their positions, anticipating continued upward momentum.

What added fuel to the rally was a liquidation event that disproportionately affected short sellers. Within the same 24-hour period, short traders lost approximately $124,670, nearly twice the losses incurred by long traders. This discrepancy typically signals a shift in market sentiment, as traders betting against the asset are forced to exit their positions—often triggering more price gains in the process.

The loss suffered by short traders also acted as a catalyst for others to jump into long positions, hoping to ride the wave. With momentum clearly in favor of the bulls, market participants began adjusting their strategies to align with the growing trend.

On the technical front, indicators show that VIRTUAL may have even more room to run. The token recently broke through a major resistance level on the 4-hour chart—an important threshold that had previously capped price growth. This breakout opens the door to further gains, with short-term targets possibly reaching as high as $2.5 if bullish momentum holds.

Adding to the optimism is the performance of the Aroon Indicator, which tracks the strength and duration of a trend. At press time, the Aroon Up line, which measures recent highs, sat at an impressive 92.86%. Meanwhile, the Aroon Down line, which tracks recent lows, was significantly lower at 35.27%. These numbers suggest a strong and sustained uptrend is in play, confirming the potential for a continued rally.

Investor behavior has also contributed to VIRTUAL’s bullish momentum. Notably, smart money investors—typically larger, more strategic players—have been increasing their exposure to the asset. These investors are known for making data-driven decisions and tend to accumulate ahead of major price moves. Currently, smart money holds more VIRTUAL than any other crypto coin or AI-related token, a clear indicator of their growing confidence in the project.

In recent weeks, subtle buying patterns from these players have been detected, which likely contributed to the current price rally. As their influence grows, the asset could benefit from both increased visibility and investor trust, making it one of the more promising altcoins in the market.

According to performance metrics, VIRTUAL now ranks fourth on the 90-day index of top-performing cryptocurrencies. It leads all tokens within the top 10 by market capitalization, further cementing its place as a breakout performer amid a turbulent market landscape.

With strong fundamentals, growing institutional interest, and favorable technical signals, VIRTUAL appears to be gaining serious traction. Whether this rally extends further will depend on the market’s ability to sustain momentum, but for now, all eyes are on Virtuals Protocol as it carves out a leading position in the crypto coin and AI token sectors.