Chiliz (CHZ), a sports-based cryptocurrency project, has recently garnered attention with a 45% price surge, reigniting enthusiasm among investors. This remarkable rise is attributed not only to retail investor support but also to a growing interest from institutional investors.
Despite a challenging end to 2021, CHZ has made an impressive comeback on January 16, with a price increase exceeding 20% and a staggering 490% boost in trading volume, drawing renewed focus to the altcoin.
The past 24 hours have seen a trading volume of $370 million in CHZ, indicating heightened activity. This surge is not only followed by day traders but is also marked by an 86% increase in open interest, reaching $50 million, particularly on major exchanges like Binance, Bybit, and OKX, reflecting a revived confidence in CHZ.
Many view the Chiliz rally as a precursor to the anticipated bull season in cryptocurrencies, potentially enhancing the interaction between blockchain and the sports and entertainment sectors.
The resurgence in popularity of Chiliz’s fan engagement platform, Socios, is a key factor behind CHZ’s rise. Socios enables fans to support their teams through “Fan Tokens,” attracting sports enthusiasts to the project. Additionally, the interest from investors supporting sports clubs is evident as approximately $1 million worth of short positions were liquidated recently. Moreover, addresses holding between 1 to 10 million CHZ have acquired over 60 million CHZ in the past 30 days, worth about $6 million, indicating whales’ preparation for a potential bull run and their renewed confidence in the altcoin.