XCN rallies over 40%, can it hold on to these gains?

XCN Crypto increased to 43% in the last day when Onyx announced the launch of its own Layer-3 blockchain.

The onyxcoin token (XCN) came out of its four days of downward trend at an intra -day summit of $ 0.033 on February 4. Asian time.

The XCN prices rally came with a leap in demand and negotiation activity. In the past 24 hours, Altcoin’s daily negotiation volume has jumped from 20% to more than $ 434 million, while the open interest in its long -term market increased by almost 21 million Dollars by Coinglass data.

What is XCN Rally today?

The key catalyst behind the XCN rally today is the launch of its own Layer-3 blockchain, the big ONYX XCN book. According to an extract from his official blog jobBlockchain is “designed for financial quality applications while offering confirmations and low costs.”

Built on arbitrum orbit and secured by the Layer-2 chain of Coinbase, base, the platform will use XCN as a native gas token and will implement EIP-1559 to burn the tokens with each transaction. The burning tokens permanently remove them from the total supply of a cryptographic asset, theoretically creating the pressure and the deflationary rarity, which can stimulate demand and lead to an increase in prices.

The buyer’s request for XCN also increased before the maintenance of the principal of XCN Ledger. According to CorciLass, since January 27, the outings of centralized exchanges have always exceeds Entrances.

XCN also benefited from Bitcoin (BTC) Recovery, as well as the wider market of cryptography, following More than $ 2 billion in liquidations the day before. The main asset of cryptography Rebounded in $ 100,000 Tuesday morning, alignment with a leap of 4.6% of the market capitalization of global cryptography after President Donald Trump concluded an agreement with the Canadian and Mexican presidents to suspend the taxation of his controversial prices for a month .

XCN price analysis

On the daily graphic, the price of XCN remains superior to the mobile averages of 50 days and 200 days, which means that if the upward trend of XCN persists, the asset approaches a level of Surechard and could face A potential reversal soon.

This is confirmed by the MACD and the price oscillator lines pointing down, which also signals a potential reversal of the current trend. The relative resistance index also indicates a downward divergence with the price which signals the weakness of the continuous trend with a potential reversal or a correction on the horizon.

Based on these signals, XCN could withdraw towards the level of psychological support of $ 0.025. However, this scenario can be invalidated if Bitcoin resumes his bullish momentum in the coming days.

At the time of the press, XCN was negotiated at $ 0.0299 per room up 12.4% during the last day.