The Onyxcoin price bounced above a crucial support level as demand for the coin jumped this week. The XCN token was trading at $0.021 on Friday, up sharply from this week’s low of $0.016. It is one of the top-performing cryptocurrencies, having surged by over 977% from its lowest point this year.
Why Has Onyxcoin Price Jumped This Year?
After remaining in a tight range for years, the XCN token has gone parabolic this year. This surge attracted the attention of Justin Sun, the crypto billionaire behind Tron, who warned that it could be part of price manipulation, accusations that the developers refuted.
OnyxCoin’s price has risen as the total value locked (TVL) in its DeFi protocol has jumped from less than $20 million in January to $73.1 million today. It increased from 1.47 ETH to a peak of 56k ETH in April. This amount has since dropped sharply to 28.7K ETH.
The XCN price has also surged as demand for its staking solutions rose due to its higher APR. The XCN-WETH liquidity protocol has attracted over $2.9 million and offers an APR 56% higher than most projects.
OnyxCoin also surged after the developers launched Onyx AI and the XCN Ledger Points Portal. Onyx Points offers users exciting incentives for interacting with the portal, while OnyxAI enables autonomous DeFi, token lifecycle management, and cross-chain operations through intelligent automation.
Furthermore, the number of XCN holders continues to rise. According to CoinMarketCap, they have risen to 114.69k, up from 113k in the same period last month. The top ten holders, potentially insiders, hold about 54% of the coin.
There is always a risk when a crypto project unexpectedly surges. An example is Mantra, whose price went parabolic and crashed by over 90% within a day. While the developers attributed the crash to exchange liquidations, many users suspect it occurred due to insider selling.
READ MORE: Solayer Price Crash Echoes Mantra Meltdown — Buy the Dip?
XCN Price Technical Analysis
The daily chart shows that the XCN price bottomed at $0.01612 in April and this month. It has failed to move below that level three times since then.
The coin has risen above the 61.8% Fibonacci Retracement level and the 50-day and 100-day Exponential Moving Averages (EMA).
Therefore, it will likely rebound now that it has formed a triple-bottom pattern. If this happens, the initial target to watch will be $0.027, up 28% from the current level. A drop below support at $0.016 will invalidate the bullish outlook.
