Can edgeX [EDGE] rebound after its 17% drop? THESE signals say…

edgeX [EDGE] fell 17% over the past day, though the pullback may signal a reset rather than a breakdown. Market structure and positioning data pointed to conditions that often precede a recovery phase. Price action remained constructive on higher timeframes. Despite the sharp decline, the broader structure stayed net positive, with several indicators aligning for a potential rebound. Is EDGE holding key support? Three technical signals converged to strengthen the bullish case for edgeX [EDGE]. First, price returned to a supply-turned-demand zone that triggered the 17th of April rally on the 4-hour chart. This level continued acting as critical support. Second, the latest candlestick printed a dragonfly doji, reflecting strong buyer response after intraday selling pressure. That pattern often precedes upward moves, especially when it forms at key support levels. On top of that, price interacted with the lower Bollinger Band, a region commonly linked to support and mean reversion. Together, these signals placed EDGE in a technically favorable position for a short-term bounce. Where could the price move next? Derivatives data added weight to the setup. The Liquidation Map showed dense clusters of unfilled orders above current price levels. These clusters, often marked in green and yellow, tend to attract price as liquidity gets filled. The largest concentration sat near the $1.4 level, suggesting a clear upside target if momentum builds. Funding data supported this view. The Open Interest-Weighted Funding Rate remained positive at 0.0041%. This indicated traders with roughly $2.3 million in Open Interest leaned more toward long positions. Is momentum still in favor of buyers? Momentum indicators continued to support accumulation. The Accumulation/Distribution line trended upward and stood at 16.67 million. This signaled sustained buying activity despite recent losses. At the same time, the Average Directional Index read 47, confirming that the broader trend retained strength. Even so, the recent dip suggested a cooling phase rather than a reversal. As long as the ADX holds above 25, trend strength persists, keeping the probability of further upside in play. Final Summary edgeX's [EDGE] 17% drop appeared as a short-term reset, with the higher timeframe structure still leaning bullish. EDGE’s positive Open Interest-weighted Funding Rate signaled traders remained biased toward long positions.