River Price Prediction: RIVER hits a new all-time high of $48.5, derivatives signals warn of "high leverage correction risk"

January 22 News, Decentralized finance project River (RIVER) surged strongly during Asian morning trading, with the price reaching a historic high of $48.56, continuing a nearly 750% rally over the past month. Despite recent market volatility triggered by Trump’s tariff policies, the overall rebound of crypto assets amid improving sentiment has caused RIVER to significantly outperform the market, currently retreating to around $45.8.

River focuses on an abstract stablecoin system on the chain, with its core product satUSD minted through the Omni-CDP mechanism, allowing users to access liquidity across different blockchains without the need for cross-chain bridges or asset wrapping. The RIVER token serves functions such as governance, staking incentives, and fee discounts. The project also disclosed a strategic investment of $8 million from Sun Yuchen, aimed at deploying smart treasuries and institutional-grade yield products within the TRON ecosystem, which is seen as one of the key drivers of this round of price increase.

However, signals from the derivatives market appear particularly tense. CoinGlass pointed out that the current futures trading volume of RIVER is over 80 times the spot volume, a structure that often indicates prices are driven more by high-leverage funds rather than genuine demand. The platform warns that when the market is flooded with extreme leverage, price volatility can be amplified by liquidation mechanisms, creating a cycle of repeated surges and crashes.

CoinGlass further analyzed the role of funding rates, suggesting they reflect an imbalance between long and short positions rather than the price trend itself. When some traders expect a rebound and concentrate on going long, the market becomes more susceptible to manipulation. Once liquidations are completed, prices may quickly lose support.

Some market observers have compared RIVER to previous tokens like BEAT, believing that similar explosive growth structures often carry significant risk of sharp corrections. In the short term, whether RIVER can stabilize at high levels or will experience a sharp decline after leverage is cleared will be a key focus for the crypto market in the coming days.

BEAT-8.49%
TRX2.46%
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