#VIRTUAL , the native token powering Virtuals Protocol—a decentralized platform for creating AI agents—has experienced a significant 24% price increase over the past 24 hours, propelling the altcoin to the top of the gainers' list. This surge in value has been accompanied by a sharp rise in daily trading volume, signaling growing market interest and suggesting the possibility of continued upward momentum.

Rising Demand and Market Activity

The 24% increase in VIRTUAL’s price is fueled by a substantial 109% spike in its daily trading volume, which reached $383 million during the review period. This surge in volume indicates heightened demand for the token, a key indicator of a potential sustained rally.

According to market analytics platform Santiment, when an asset’s price rises alongside an increase in trading volume, it reflects strong market interest and heightened activity. This suggests that the price surge is being supported by substantial buyer participation, making it more likely that the bullish trend will persist.

Positive Market Sentiment

Further reinforcing the positive outlook for VIRTUAL is its Long/Short Ratio, which currently stands at 1.02, according to Coinglass. This indicates that more traders are taking long positions—betting that the price will rise—than short positions, suggesting strong bullish sentiment in the market. A Long/Short Ratio above 1 reflects optimism among traders, signaling confidence in the token's future price movement.

Price Outlook and Key Support Level

As of now, VIRTUAL is trading just below its all-time high of $3.32, which it last achieved on December 16. The recent rally follows a bounce off the 20-day Exponential Moving Average (EMA) at $2.31, which served as crucial support during Monday’s trading session. The 20-day EMA, which gives more weight to recent price data, is a key indicator for tracking short-term trends. A bounce off this moving average typically signals that buyers are defending this level, reinforcing a bullish trend.

If the 20-day EMA continues to hold as support, VIRTUAL could potentially reclaim its all-time high and push beyond it. However, if the price breaks below this key moving average, the token could face a decline toward $1.11.

In summary, the surge in VIRTUAL’s price and trading volume, along with positive market sentiment, suggests a strong bullish outlook for the token. Traders and investors will closely monitor the 20-day EMA, as its role in supporting the price could determine whether VIRTUAL is poised to break its all-time high.