Onyxcoin (XCN) has risen more than 3% in the last 24 hours and nearly 12% over the past week, bringing its market capitalization back to approximately $640 million.
After a volatile week, the technical indicators for XCN show significant changes that could determine its next move. The structures of the Relative Strength Index (RSI), Average Directional Index (ADX), and Exponential Moving Average (EMA) of the token indicate a combination of momentum stabilization and warning signals. Here’s a closer look at the current situation for Onyxcoin at the beginning of the first week of May.
The Relative Strength Index for Onyxcoin is recovering, creating a neutral base for the next move.
The Relative Strength Index (RSI) for Onyxcoin currently stands at 48.89, after reaching 75 just five days ago. The RSI sharply fell to 34.88 yesterday, but has since recovered, indicating a possible reduction in selling pressure.
This recent bounce indicates that momentum is trying to stabilize, although the token remains significantly below the overbought zone it reached earlier this week.
The change also signals that Onyxcoin is no longer close to the oversold zone but has yet to show a clear direction for its next significant move. RSI is a widely used technical indicator that measures the speed and magnitude of recent price movements of an asset to assess whether it is overbought or oversold.
Typically, an RSI above 70 indicates overbought conditions and potential for a pullback, while an RSI below 30 signals oversold conditions and potential for a bounce.
With the RSI for XCN currently at 48.89, the token is in a neutral zone, allowing for further upside if positive momentum continues. If buyer pressure increases, XCN could strengthen its recovery without immediate confrontation with technical resistance from overbought conditions.
The rise of XCN persists, but the trend strength is weakening.
The Average Directional Index (ADX) for Onyxcoin currently stands at 23.64, which is a significant drop from the level of 50 it reached just two days ago.
This sharp decline suggests that the strength of the recent trend has weakened, although Onyxcoin technically remains in an upward trend.
The decline in ADX reflects a cooling of momentum after a strong directional move earlier this week. While the upward trend still holds, the lower ADX value signals that the trend strength is no longer as dominant as it was a few days ago. ADX is a technical indicator that measures trend strength but not its direction. Values above 25 typically indicate a strong trend, while values below 20 indicate a weak or directionless market.
With the ADX for XCN currently at 23.64, the trend is still moderately strong but close to losing strength if the value continues to decrease.
This means that while Onyxcoin's upward trend is maintained, it may require new buyer pressure soon to avoid a period of consolidation or sideways movement.
Onyxcoin holds support, but the EMA gap signals caution.
XCN rose approximately 112% in April, becoming one of the best altcoins of the month. The Exponential Moving Average (EMA) lines remain bullish, with short-term EMAs still positioned above long-term ones.
However, the gap between the short-term and long-term EMAs has narrowed compared to previous days, indicating that bullish momentum is losing some strength.
While the overall trend remains positive, the decreasing distance between the EMAs indicates that the market is approaching a critical point where a clearer direction may soon emerge. Over the past few days, Onyxcoin has successfully tested and held the support zone around $0.018, but this level remains fragile.
If XCN tests this support again and fails to hold, the price could drop to the next support around $0.016. On the other hand, if buyer momentum returns, XCN could rise to test resistance at $0.024.
A breakout above $0.024 could pave the way for a continuation to $0.027, offering strong bullish momentum if the impulse strengthens.#Write2Earn #BinanceSquare #Binance #crypto #Squar2earn $XRP