Bitcoin SV is seeing increased demand from short-term investors and traders as its price surpasses the $50 mark amid high volatility.
Bitcoin SV (BSV) is up 17% in the past 24 hours and is trading at $52.95 at the time of writing. The assets market cap is currently sitting at $1.05 billion, making it the 67th-largest cryptocurrency.
Data shows that BSVs daily trading volume skyrocketed by 215%, reaching $93 million.
BSV has been wandering in extreme volatility since late June and could hardly surpass the $50 mark after it plunged from a two-year high of $128 in March.
At this point, BSV is down by 89% from its all-time high of $491 on April 16, 2021.
Notably, BSVs price surge comes along with the market-wide bullish momentum. The global crypto market capitalization surpassed the $2.5 trillion mark, according to data from CoinGecko. Bitcoin (BTC) reached the $71,000 mark for the first time since June.
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Open interest rises, thanks to shorts
BSVs price surge comes along with rallying open interest.
BSV price, open interest and funding rate | Source: Santiment
According to data provided by Santiment, the total open interest in BSV increased by 63% over the past day—rising from $7.6 million to $12.4 million.
On the other hand, the token is already seeing expectations of a price fall while the rising open interest and trading volume hint at increased demand.
This could indicate a notable increase in short-term traders eyeing quick gains before the BSV price falls.
The start of short liquidations could potentially push the price higher and vice versa.
Data from Santiment shows that the sentiment around BSV is mostly been neutral over the past month with a few spikes and plunges on Oct. 18 and 25.
Its important to note that leading crypto exchanges Binance and Kraken delisted BSV in 2019 and Coinbase removed BSV from its platform in February this year.
Binance said the asset didnt meet its requirements after the Australian computer scientist Craig Wright claimed that he was Satoshi Nakamoto, the creator of Bitcoin. Kraken even called it “fraudulent claims” in its delisting announcement.
For Coinbase, the major reason was the 51% attack on the BSV network in 2021.