Onyxcoin (XCN) has skyrocketed in value, posting gains of over 2,000% and recently securing a spot among the top 100 cryptocurrencies by market capitalization. Only today, the coin has risen by another 80%, and currently is worth over $0.045! Its current valuation of nearly $1.5 billion and a sharp uptick in trading volume have left traders hyped.
But what’s fueling this meteoric rise? And could this be just the beginning for Onyxcoin? Let’s unpack the story behind XCN’s recent success.
Table of Contents
Resolution of Long-Standing Issues
One of the primary drivers behind XCN’s surge is the resolution of a prolonged dispute involving HTX Global and Justin Sun. This disagreement, which dates back to 2022, revolved around the Onyx Improvement Proposal (OIP-51). The proposal granted HTX exchange market support for XCN and included provisions for governance and staking collaborations.
Onyx DAO’s announcement that the matter had been resolved was a game-changer. The move reassured investors and helped restore confidence in Onyxcoin’s governance. This resolution has opened doors for broader adoption and cemented Onyx Protocol as a reliable player in the DeFi sector.
Institutional and Retail Interest in DeFi
XCN’s growth has also been fueled by the increasing adoption of decentralized finance (DeFi) protocols. Both institutional investors and retail traders are embracing Onyx Protocol’s staking and farming capabilities. These features might position the platform as a go-to for those seeking to maximize returns in the DeFi space in the future.
Moreover, Onyx Protocol has attracted attention for its scalability and ease of use. It supports asset issuance, transfer, and control, offering robust tools for financial systems. The protocol’s ability to cater to institutional-grade requirements while remaining accessible to smaller players is a key factor in its appeal.
Speculation and Market Sentiment
Another significant factor is the speculative demand driving XCN’s trading activity. With cryptocurrency markets often running on sentiment, the hype around Onyxcoin’s recent developments and surge has triggered a wave of new investors. This optimism is also reflected in predictions that XCN could deliver even greater returns in the near future. Some traders believe it has the potential to climb another 10x, driven by technical patterns and bullish market conditions.
However, in our opinion, it is critical to remember that after rapid gains, there is always the possibility of pullbacks or profit-taking. As we noted in yesterday’s article, it’s important to determine whether a coin’s performance is supported by genuine value or by the hype surrounding recent news.
This caution is further indicated by Relative Strenght Index currently sitting at 78. Such a reading places XCN in overbought territory, hinting that the market could see corrections or short-term volatility in the near future.
Final Thoughts
While some may view XCN’s surge as a speculative bubble, others see it as a sign of its long-term potential. The resolution of the OIP-51 proposal injected fresh energy into Onyxcoin, which until recently had been trading well below $0.005 for almost a year. Whether the coin can maintain its current price levels and extend this bullish momentum remains to be seen.
