Date: Tue, February 11, 2025 | 07:08 AM GMT
The cryptocurrency market has started the week with a much-needed recovery, with major altcoins turning green after weeks of correction. Bitcoin dominance has declined by 0.72% today to 61.15%, pushing the market for a rebound today.
However, Onyxcoin (XCN) remains in the red, dropping 5% today and marking a 22% correction over the last seven days. This comes after an explosive rally witnessed in the past month.
Source: Coinmarketcap
Testing the Symmetrical Triangle’s Support
XCN saw an impressive surge last month, skyrocketing by over 1500% and reaching a peak of $0.049 on January 26. This rapid rise was followed by a correction, forming a Symmetrical Triangle pattern, which typically signals either continuation or reversal depending on the breakout direction.
Onyxcoin (XCN) 4H Chart/Coinsprobe (Source: Tradingview)
Currently, XCN is testing the lower support trendline of the triangle at $0.022, a level that previously triggered a rebound and currently trdaing near it at $0.023,. If the price holds and bounces from here, it could approach the 15-day MA and the upper resistance of the triangle, attempting a breakout. A successful breakout with a retest could ignite fresh upside momentum, targeting the next resistance levels at $0.027 and $0.040.
However, if XCN fails to hold this key support, it could decline toward the next downside support at $0.01862, aligning with the 200 MA.
The MACD (Moving Average Convergence Divergence) indicator is currently showing a bearish crossover, signaling weakening momentum. However, if buying pressure increases at this support level, the MACD could turn bullish, confirming a potential reversal.
Final Thoughts
XCN is at a decisive moment, testing a crucial support level within the symmetrical triangle. A bounce could lead to a breakout and a fresh rally, while failure to hold could result in further downside. Traders should watch the support at $0.022, the 15-day MA, and the MACD indicator closely to determine the next move.
Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.
