SPX6900 leads memecoin surge with 20% jump, but is a pullback coming?

Key Takeaways

SPX6900 led the memecoin sector in gains after breaking key hourly levels. Whale activity and short liquidations fueled its momentum, yet the push toward $1.50 awaits confirmation.

Memecoins reignited the crypto market as the sector’s market cap climbed 4.64% in 24 hours, with trading volumes soaring 84.43%, per CoinMarketCap.

Among the standouts, SPX6900 [SPX] and Pudgy Penguins [PENGU] captured attention with double-digit weekly gains and sharp intraday spikes.

Behind SPX’s surge: heavy whale orders, a wave of short liquidations, and technical triggers like an EMA crossover that shifted momentum.

Is SPX’s surge sustainable?

On the daily price chart, SPX broke above the 100 and 200 MAs, an indication of a structural shift on the bigger timeframes.

On the shorter timeframes, where SPX’s structure was shifting faster, there was a break of major zones after the one-week consolidation. This range was between $1.05 and $1.20, with a breakout fueling this rally.

At press time, SPX traded near $1.34 with $42 million in volume, surging past $1.30 resistance. That barrier previously rejected advances, but higher volume created a price gap that fueled the rally.

For now, the memecoin appears to be on a path toward $1.50, but is the target viable?

The resistance at $1.40 may result in a pause, just like SPX did at $1.30. In the meantime, if SPX buyers slow down, the price could trace back below $1.30.

Whales, OI, and funding back SPX

On-chain data pointed to whales as the primary force behind SPX’s rally.

CryptoQuant’s Spot Average Order Size showed large trades dominating once the token held above $1, underscoring that big players fueled the move rather than retail flows.

Additionally, the Open Interest (OI) across major exchanges like Binance and OKX rose to $101 million, about 20% on the day.

Also, the Long/Short Ratio was at 1.15, suggesting buyers were slightly optimistic than sellers.

Additionally, the Aggregated Funding Rates turned positive for the last two days. The reading was 0.0122 on Coinalyze — indicating that longs were paying shorts.

Short squeeze sparks rally

Another factor driving the SPX memecoin’s price was the short squeeze on orders above $1.30.

The run on these shorts reduced the selling pressure that previously led to a pause at the zone. As a result, the price spiked past $1.35.

However, liquidity remained thick below $1.25, with over $3 million in orders between $1.20–$1.25. A retest of this zone could clear unfilled positions and confirm support before any extended upside.