Midnight's NIGHT token jumped 13%, flipping the $0.03 resistance level to a two-month high of $0.033, after Cardano co-founder Charles Hoskinson said the privacy project could grow bigger than Zcash. The claim drew both agreement and skepticism online, while derivatives data shows fresh leveraged betting on the rally even as most positioning still points to a pullback.
Midnight's NIGHT token climbed 13% on the day, trading around $0.032 after flipping the $0.03 resistance level to a two-month high of $0.033. The move came alongside a jump in spot volume, which rose 50% to $54 million, while daily turnover climbed by $26 million.
Hoskinson's bigger-than-Zcash claim
The rally followed a projection from Weiss Crypto that NIGHT could become one of the best-performing tokens of the next two years. Cardano co-founder Charles Hoskinson went further, arguing Midnight could surpass Zcash because it aims for programmable, selective-disclosure privacy rather than Zcash's shielded transactions alone.
That claim sparked heated debate, with some agreeing and others expressing skepticism. Trader DeFi Warhol argued that, at the current pace, two weeks of Zcash's activity equals Midnight's entire public transaction count, and concluded that Zcash's decade-plus of liquidity would make closing that gap in the near term nearly impossible.
Traders pile into derivatives
The debate coincided with a surge in derivatives activity. According to CoinGlass data, NIGHT's open interest rose 17% to $23.8 million, while derivatives volume jumped 88% to $77.6 million, pointing to a wave of new leveraged bets.
On Binance, the long/short ratio climbed to 1.4, with top trader positions rising to 2.9. Yet the overall ratio has yet to clear 1, meaning most traders are still positioned for a drop rather than a continued rally.
Can the rally hold?
NIGHT's MACD and True Strength Index have both held upward trajectories, a combination that signals the trend could continue. If demand holds, Midnight could reclaim $0.034, with $0.04 as the next resistance.
However, the spot market remains under pressure from profit-taking. Over the past 24 hours, $11.5 million worth of NIGHT flowed into exchanges against $10 million in outflows, and continued selling could pull the token back toward $0.027.
Source: AMBCrypto
Trading involves risk.
Risk Disclaimer
