- XDC Network’s token has bounced back in the past few days.
- It has moved above the upper side of the falling wedge pattern.
- The main risk is that the token’s volume remains subdued.
XDC Network price has risen gradually in the past few days as investors watched the recent onXDC Live event last week. It rose by more than 3% on Tuesday morning, becoming the best-performing major cryptocurrency, according to CoinMarketCap. It rose to a high of $0.056, the highest level since August 21st.
XDC Network is a blockchain network that seeks to become a leading player in the industry. It aims to become the best alternative to the likes of Ethereum, Hedera Hashgraph, and Cardano. According to its website, it offers a low-cost, fast, and reliable network for enterprise customers. Like other chains, XDC is EVM-compatible, allowing it to interact with Ethereum.
The most recent catalyst for the XDC Network price was last week’s onXDC event, which gave its creators and developers in its ecosystem to talk about the network. They also talked about the XDPoS 2.0 upgrade that will lead to more improvements in the network. In most cases, cryptocurrencies tend to rally after a major event and upgrade.
XDC Network price rose even as its volume traded in exchanges dropped. According to CoinMarketCap, the total volume traded in exchanges in the past 24 hours dropped by more than 8% to just $9.2 million. This is a tiny volume since it has a market cap of more than $774 million.
XDC Network price prediction
The 4H chart explains why the XDC Network price has bounced back in the past few days. This rebound happened after the token formed a falling wedge pattern that is shown in black. The upper side of the wedge connects the highest swings since August 10th and the lowest points since August 6th.
In price action analysis, the falling wedge is one of the most accurate bullish reversal patterns. As such, we can see that the token bounced back after the two lines of the wedge pattern reached their confluence zone.
XDC Network has also jumped above the 25-period and 50-period moving averages, which is another bullish sign. Therefore, there is a likelihood that the token will continue rising in the coming days as buyers target the next key resistance level at $0.060. The only risk to consider is the low volume in the token.
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