🔥 Key Takeaways
- Price Stagnation: Onyxcoin (XCN) is currently trading around $0.0069, struggling to reclaim momentum after a 50% drop from its January peak.
- The Hurdles: The chart indicates the formation of two significant “supply walls” (resistance zones) that are preventing a bullish breakout.
- Whale Watch: Market analysts are closely monitoring whale wallet activity to see if large holders can absorb sell pressure and push through these resistance levels.
- Market Sentiment: While the collapse has paused, buying volume remains insufficient for a confirmed reversal, keeping the asset in a consolidation phase.
Onyxcoin (XCN) Faces Major Resistance After Sharp Correction
After a turbulent start to the year, Onyxcoin (XCN) appears to have found a temporary footing, though the path to a full recovery remains obstructed. Currently trading near $0.0069, XCN is down almost 50% from its early January peak near $0.0129. While the intense selling pressure that characterized the recent collapse has subsided, the price action suggests that the market has entered a phase of consolidation rather than a definitive reversal.
Since forming a local bottom on January 20, Onyxcoin has attempted several rallies. However, each upward push has met with resistance, stalling the bullish momentum. The current market structure suggests that while buyers are defending current support levels, they are struggling to overcome the overhead selling pressure.
The Two Supply Walls Blocking the Path
The primary technical challenge for XCN at the moment is the presence of two distinct supply walls. These are zones where a high concentration of sell orders has historically been placed, creating significant resistance. The first supply wall is located just above the current trading price, acting as the immediate barrier to any short-term rally.
If bulls manage to breach the first wall, a second, more formidable resistance zone awaits higher up. This overhead supply represents traders who bought during the previous dip and are likely looking to exit their positions at breakeven, adding to the selling pressure. For a 50% price rally to materialize, XCN needs to flip these resistance levels into support, a move that typically requires substantial volume.
Can Whales Break Through?
The pivotal question for Onyxcoin investors is whether “whales”—large wallet holders with the capital to move markets—will step in to break these barriers. Historically, whale accumulation has been a catalyst for overcoming stubborn resistance levels. Currently, on-chain data and market sentiment indicate that whales are observing these supply walls closely.
If whales initiate a coordinated buying spree, they could absorb the sell orders within the supply walls, effectively clearing the path for a 50% rally toward the next psychological resistance levels. However, without this institutional-sized buying pressure, the price may remain range-bound, caught between the overhead supply and established support levels.
Traders should monitor volume spikes and large transaction alerts for signs of whale activity. A breakout accompanied by high volume would signal that the supply walls are being broken, potentially validating a bullish reversal for Onyxcoin.
Read Also Epochs
