Chiliz (CHZ) staged a surprise rebound this week, jumping about 11% and reclaiming a spot inside the top 100 cryptocurrencies by market cap. The token sat at No. 91 with a market valuation of roughly $495.24 million — but whether this rally has legs depends largely on what derivatives and on-chain flows reveal next. Derivatives activity points to renewed trader confidence - Perpetual futures Open Interest (OI) surged by roughly $14.6 million in 24 hours to hit about $56 million, signaling fresh exposure into CHZ as the price climbed. (Source: CoinGlass) - The increase appears retail-driven: trade counts rose alongside OI, suggesting a broad base of smaller traders — not just a handful of large accounts — piling in. - Positioning skewed bullish: CHZ’s OI-weighted funding rate turned positive at 0.0782%, meaning traders are effectively paying a premium to hold longs. That’s typically interpreted as traders expecting more upside rather than hedging or shorting. Context and technicals: momentum and accumulation - The rally follows a rough second half of 2025, when CHZ fell more than 51% between July and December. That backdrop makes the bounce notable but raises questions about sustainability. - On-chain and chart indicators back the recent strength. The Accumulation/Distribution line points to buyer dominance in recent sessions, and total trading volume rose to about 7.8 billion CHZ — suggesting meaningful participation rather than a thin, liquidity-driven move. (Source: TradingView) - Momentum metrics also favor bulls: the Aroon indicator showed a strong bullish tilt with Aroon Up at 92, indicating dominant upward pressure and the possibility of continued short-term gains. Catalyst: regulatory alignment may be helping sentiment - Chiliz recently joined the Markets in Crypto-Assets (MiCA) Crypto Alliance, a move that could improve its regulatory positioning in the EU. The Alliance said it supported the review and iXBRL conversion of multiple white papers across the Chiliz and Fan Tokens ecosystem to enable MiCA-aligned, machine-readable disclosures. - For a consumer-facing project focused on sports and entertainment, visible steps toward regulatory compliance can meaningfully improve investor sentiment and encourage fresh positioning. Bottom line Recent derivatives flows, positive funding, and supporting technicals suggest the current CHZ upswing is backed by real trader interest — particularly among retail participants. However, the token’s steep losses in late 2025 and the need for sustained follow-through mean the rally should be monitored closely. Continued strength in OI, funding, and volume — or onboarding of larger, long-term capital — would be key signs that this move can persist. Disclaimer: AMBCrypto's content is informational only and not investment advice. Cryptocurrency trading carries high risk; readers should do their own research before making decisions. © 2026 AMBCrypto Read more AI-generated news on: undefined/news