Story Protocol – Here’s what could stop IP from hitting $8.7

Key Takeaways

What’s fueling Story Protocol’s rebound?

Rising Outflows of $46.8 million and 134% Derivatives Volume jump signal renewed trader accumulation and short-covering momentum.

What should traders watch next for IP?

A clean break above $7.5 could open $8.7, while weak buying may send IP toward $5.6 support.

Story Protocol [IP] bounced sharply from $1.2 four days ago, forming an ascending channel on the daily chart. The token rallied 23.02% over the last 24 hours, hitting a $7.4 high before retracing to $6.18 at press time.

Trading volume surged 108% to $382 million, signaling strong market participation.

Is this the start of something bigger, or a mere bubble?

Whales fuel demand recovery

AMBCrypto observed that IP rallied, driven by surging demand on both Spot and Futures markets.

According to CoinGlass data, Story recorded an increased accumulation since the market dipped days ago. Over the past three days, there were more withdrawals compared to exchange deposits, indicating higher demand.

In fact, over a 3-day timeframe, the altcoin recorded $77.39 million in Outflows compared to $72.61 million in Inflows. 

Over the past day, the altcoin recorded $46.8 million in outflows compared to $40.53 million in inflows. As a result, the Spot Netflow dropped to -$6.29 million at press time, reflecting higher outflows, a clear sign of aggressive accumulation.

That trend aligned with renewed investor confidence across exchanges.

Futures market heats up

Interestingly, our examination of the Derivatives market revealed that most investors rushed to position themselves strategically. 

According to CoinGlass, Derivatives Volume surged 134.13% to $1.02 billion, while Open Interest jumped 20% to $166 million, at the time of writing.

When both rise together, it signals expanding leveraged participation.

Meanwhile, the Long/Short Ratio stood at 1.17, meaning 53% of traders held long positions against 46% shorts. That alignment reflected a mild bullish bias across major venues like Binance and OKX.

Can IP hold these gains?

According to AMBCrypto, Story Protocol’s token rebounded as buying pressure surged across participants on the spot and futures market.

The altcoin’s Stochastic RSI rebounded from oversold territory and reached 39 as of writing. At the same time, its Relative Vigor Index (RVGI) made a bullish crossover at −0.19.

Typically, when these indicators move out of oversold levels, they signal rising buyer dominance and strengthening upward momentum.

If market conditions remain stable, the trend could continue, with IP making more gains on its price chart.

A trend continuation may see IP reclaim $7.5, which would strengthen bulls to target the $8.7 resistance level. However, if sellers step in again, any downward pressure could see IP find support around $5.6.