USELESS Coin Rallies 12% on a Leverage High So Absurd Even the Chart Looks Clutching Its Pearls 🫠

Memecoin USELESS Coin gained more than 12% in 24 hours near the end of last week, flipping weekly losses into gains of roughly 5% and tracking a broader resurgence in FARTCOIN, BONK, and dogwifhat (WIF). The move came with a sharp climb in derivatives exposure on both centralized and decentralized venues. At the time of writing, USELESS posted the highest open-interest-to-market-cap ratio of any memecoin on Binance perps, at 11.86%, with $8.30 million in OI against a $70 million market cap. It ranked ahead of FARTCOIN, TRUMP, and WIF on that metric.

On DEXs, USELESS derivatives activity on Lighter, the largest venue to list the token, ranked second only to TRUMP among memecoins by perps open interest. Aggregated CEX and DEX data pointed to elevated leverage across the memecoin complex, with leverage cited as a likely contributor to the day's rally. Spot buying volume rose 9.9x over 24 hours, and a short squeeze at $0.07065 helped push USELESS to an intraday high of $0.07745.

Despite the move, technical structure remained mixed. USELESS broke above a bullish reversal pattern on the 4-hour chart but continued to trade below an ascending trendline that flipped to resistance. Liquidity clusters identified the highest liquidation leverage concentrations near $0.070, a level bulls defended into the latest leg, with the Chaikin Money Flow (CMF) rising to 0.16 and indicating continued accumulation at that price. USELESS also traded with a 0.73 correlation to BONK, tying its near-term direction to broader memecoin flows.

A sustained close back above the prior trendline would reaffirm the bullish reversal setup, while a break below $0.070 would invalidate it and leave the token exposed to further downside as elevated leverage raises the risk of liquidation-driven volatility.