The cryptocurrency market is entering 2026 with a risk-on sentiment, and the NFT sector is showing early signs of revival after a prolonged downturn. The Sandbox (SAND) has emerged as a leading indicator, posting a sharp rally of over 15.5% in a 24-hour period, pushing its price above $0.14. This surge was accompanied by a massive spike in trading volume, which increased by over 400% to reach approximately $167 million, signaling a significant return of market participation.
Technical analysis indicates a potential trend reversal for SAND. The price has broken out from a descending trend and a rising parallel channel, with the Directional Movement Index (DMI) flipping to bullish, suggesting control has shifted from sellers to buyers. For the rally to be validated as the start of a sustained recovery, analysts suggest the price needs to overcome a key resistance zone between $0.184 and $0.189, with a continued rise of over 50% potentially setting a target of $0.20.
The momentum extends beyond spot markets into derivatives, where Open Interest for SAND climbed to around $25 million, indicating growing speculative activity and capital commitment to the bullish move. On-chain data further supports the constructive outlook, showing a steady increase in the number of SAND holders, which points to improving long-term engagement.
The article highlights that this move could signal a broader, albeit selective, recovery for the NFT sector in 2026. Instead of a blanket rally, leadership is expected from tokens with real utility in gaming, metaverse, and infrastructure. Other top NFT tokens to watch include Axie Infinity (AXS) for Web3 gaming, Chiliz (CHZ) for fan tokens, Decentraland (MANA) for the metaverse, Immutable (IMX) for NFT scaling, and ApeCoin (APE) linked to the Bored Ape ecosystem. The sustainability of the rally will depend on consistent volume and sustained user interest beyond a short-term rebound.
