Why is PIPPIN's price rising today? Open interest surges by 16.8%, with whale buying and other factors at play.

As of press time, Pippin has surged another 32.3% in the past 24 hours. Considering that bitcoin [BTC] dropped by 3.96% and the total cryptocurrency market cap fell by 4.13% during the same period, Pippin's performance is truly outstanding.

PIPPIN has seen strong bullish sentiment in recent weeks. Since November 21, the price of the autonomous AI agent and memecoin has soared by 2022%. In the current market environment, a 20-fold increase in a month is indeed rare.

Especially considering that the whale who bought the AI agent token on Base was forced to accept failure, suffering a loss of up to 88.77%, highlighting the weakness in the sector.

Why Has PIPPIN's Price Soared?

As of press time, the open interest (OI) of the memecoin has increased from $178 million on December 15 to $208 million. This 16.85% increase indicates a strong bullish sentiment in the market.

A 61.8% increase in daily trading volume has also boosted the confidence of the bulls.

Despite the rise in OI, the funding rate is negative. This means that most participants in the market are shorting the token, with its futures price below the spot price.

According to a post on X, the evening traders group pointed out that this rally was mainly driven by whales accumulating supply in a coordinated manner.

This observation is consistent with previous case studies which found that 93 wallets hold 73% of the total supply, distributed across three distinct clusters.

There are no signs of distribution or outflow. On the contrary, synchronized activity suggests structural accumulation rather than retail-driven capital flows, a development that has investors concerned.

Another reason holders are considering taking profits is the rapid pace of this rally itself. Since early December, the price has continued to hit new highs while the MFI indicator has continued to hit new lows.

This is a persistent bearish divergence that could lead to a significant correction. On the other hand, the continued rise in the OBV indicator suggests that buying pressure remains strong.

Overall, the accumulation of whale supply and the rapid rebound mean that PIPPIN holders may want to take profits rather than continue holding during a deep correction.

Final Thoughts

• Over the past month, the pippin token has achieved an astonishing increase.
• The coordinated accumulation by whales may pose a serious threat to retail PIPPIN holders enjoying the current price action.