Onyxcoin (XCN) token has given back some of the gains made last week as investors book profits and wait for the next catalyst.

Onyxcoin token has given back some of the gains made last week as investors book profits and wait for the next catalyst.

Onyxcoin (XCN) token has given back some of the gains made last week as investors book profits and await the next catalyst for the next leg of the rally.

Onyxcoin price dropped to a low of $0.170 on April 16, down by over 37% from its highest point this month.

The ongoing decline is likely due to investors selling the news after Binance Futures listed the token. Historically, cryptocurrencies rally ahead of a major exchange listing and then pull back once the listing goes live.

Onyxcoin has also pulled back as the network has not made any headlines since last week’s Binance listing.

Also, some investors who benefited from the recent rally have started to book profits, especially after the crypto recovered from the March 15 crash.

XCN price has also dropped as the total value locked in its ecosystem continues to fall.

Data from DeFi Llama shows that Onyx currently holds only $123,990 in total assets, down from last week’s high of $146,000. This makes it a small player in the layer-1 industry, which has over $90 billion in total assets.

Onyxcoin’s daily trading volume has also plunged over the past few days. CoinMarketCap data shows that volume slipped by 30% to $93 million, down from $600 million last week. Most of the trading activity is occurring on exchanges like Coinbase, Bitget, and MEXC.

Onyxcoin price technical analysis

The daily chart shows that the XCN token was in a tight range before last week’s surge, a sign it was in the accumulation phase of the Wyckoff Theory. It then entered the markup phase, which is characterized by a parabolic move that pushed it above the 50% Fibonacci retracement level.

It has now moved into the distribution phase, which is characterized by greater supply than demand. This selling pressure typically comes from panicked traders who bought during the climb.

Onyxcoin has also dropped below the strong pivot reversal point of the Murrey Math Lines at $0.183. Therefore, the coin will likely continue falling as sellers target this month’s low of $0.00755, which is about 55% lower than the current level.

However, the risk of shorting XCN is that it often stages parabolic moves. For example, it soared by 150% in a 24-hour session in January. It also jumped by another 35% a few days later.