Onyxcoin (XCN) Emerges as a Top Performer with a 15% Price Increase; Indicators Signal Further Growth Potential

Strong buying activity and positive on-chain metrics are noted for XCN following its 15% rally.

Key Highlights:

• XCN’s value climbed by 15% within 24 hours, positioning it as the leading altcoin performer among the top 300 by market capitalization.
• The token successfully broke out from a downward channel, mirroring a “bull flag” pattern that previously triggered rallies in April.
• A favorable divergence between price and Daily Active Addresses indicates that sustained network usage is underpinning the upward trend.
• The Bull Bear Power (BBP) and Supertrend indicators present bullish signals, suggesting a potential to overcome the $0.025 resistance level and advance towards $0.031.

Onyxcoin’s native token, XCN, which powers the decentralized peer-to-peer protocol, has experienced a 15% jump in the last 24 hours. This significant price movement establishes XCN as the top-performing altcoin within the leading 300 cryptocurrencies based on market capitalization.

Currently, the XCN crypto is trading at $0.020. This performance signifies a notable turnaround from its price activity in the preceding week.

During that earlier period, XCN’s value declined from $0.020 to $0.016, becoming confined within a descending channel. However, with its recent breakout, the token seems poised to move beyond this previous downtrend.

Onyxcoin Breaks Free from Bearish Formation

Analysis of the 4-hour chart suggests that the XCN crypto’s price movement is potentially replicating a bullish pattern that has historically led to price gains. The token has consistently formed “bull flags,” which are then followed by breakouts above the upper trendline, each instance resulting in a significant upward price movement.

This pattern was observed twice in April and appears to be reoccurring after XCN broke out of the descending channel this week. The initial phase of the altcoin’s recent surge pushed its price to $0.022.

Despite a minor retreat to $0.020, the Onyxcoin token is not anticipated to undergo an extended correction. A primary factor supporting this outlook is the Money Flow Index (MFI), a volume-weighted indicator that measures capital inflows and outflows.

The MFI has risen to 80.61, signaling strong buying pressure and indicating that bullish sentiment continues to dominate the market. If this momentum persists, XCN’s price could recover from its recent dip and continue its upward trajectory in the near term. (XCN/USD 4-Hour Chart | Source: TradingView)

Supported by Positive On-Chain Metrics

Beyond the technical analysis, an examination of on-chain metrics, specifically the price-to-Daily Active Addresses (DAA) divergence, provides further support. The price-DAA divergence highlights the relationship between a token’s price changes and the level of user engagement on its network.

For clarity, DAA quantifies the number of unique addresses involved in sending or receiving a token daily, serving as an indicator of actual usage and demand. When prices rise while network activity declines, the uptrend is considered weak, and the divergence is bearish.

However, in XCN’s case, data from Santiment reveals that the adjusted price-DAA divergence is positive. This suggests that user participation with the cryptocurrency is sustainable, which could contribute to an increase in XCN’s price. (XCN Price DAA Divergence | Source: Santiment)

XCN Price Outlook: A Potential 60% Upside?

XCN’s daily chart also indicates a bullish outlook, consistent with the on-chain analysis and the technical setup described earlier. On May 16, the Bull Bear Power (BBP) indicator briefly entered negative territory but has since turned positive, signaling that bulls are regaining control of the price momentum.

Today, the BBP, which assesses the relative strength of bulls versus bears, has surged into positive territory. This indicates that bears are no longer dictating XCN’s price movements.

Furthermore, the Supertrend indicator’s green line is positioned below the price, which is typically interpreted as a buy signal.

Consequently, the Onyxcoin cryptocurrency might surpass the resistance level at $0.025. A successful breakout beyond this point could set the stage for a 60% rally towards $0.031, which aligns with the 0.382 Fibonacci retracement level. (XCN/USD Daily Chart | Source: TradingView)

Conversely, if XCN is unable to overcome this resistance and selling pressure mounts, the anticipated upward movement may not occur, and XCN’s price could retrace towards $0.012.

Disclaimer: The content provided in this summary is for informational purposes only and should not be interpreted as financial advice. No guarantees are made regarding the completeness, reliability, or accuracy of this information. All investments carry risk, and past performance is not indicative of future results. It is recommended to consult with a financial advisor before making any investment decisions.