The price surge of ImmutableX (IMX) came as a surprise to the market, as the altcoin took the lead in the cryptocurrency market rally on Friday. The alternative cryptocurrency reached its highest point in 45 days and successfully transformed several resistance levels into stable support levels.
IMX reached a peak of $0.77, marking a 33% increase from its starting price. Nevertheless, this upward momentum couldn’t be maintained, and there’s now a potential threat to the breakout from a descending resistance line for IMX.
The notable surge in the price of IMX can be attributed in part to the implementation of the IMX-Korean won trading pair on Upbit, a cryptocurrency exchange based in South Korea.
Significant Boost For ImmutableX
The inclusion of this listing on Upbit resulted in a significant boost, accounting for over 35% of the global trading activity for IMX. This allowed direct trading with the Korean won and increased South Korean trader interest in BW.com.
The newly listed IMX/KRW pair on Upbit exchange accounted for nearly 20% of the global trading volume.. pic.twitter.com/UcZhiTT7MA
— GeckoTerminal (@GeckoTerminal) September 21, 2023
According to data source Coingecko, the IMX-Korean won (IMX/KRW) pair listed on South Korea’s Upbit exchange accounted for roughly 20% of worldwide activity, followed by Binance’s IMX-tether (IMX/USDT) pair, which contributed 7% to total volume.
A number of Upbit wallets absorbed millions of dollars’ worth of IMX, according to the Web3 data research application Lookonchain, even though the precise reasons driving up the price are yet unknown.
IMX market cap currently at $775 million. Chart: TradingView.com
Whales are essential to the dynamics of the market since they own about 87% of the circulating supply of IMX. Their presence can cause losses for other investors, and their activities have a major impact on the market.
The number of significant transactions (those over $100,000) has been quite modest in recent weeks, averaging about $7 million, with sporadic little rises occurring every few days. Whale trades barely reached $22.6 million in the last 24 hours.
At the time of writing, IMX was trading at $0.66, up 33% in the last seven days, data from crypto market tracker Coingecko shows.
IMX Derivatives Short-Selling
Meanwhile, according to the data provided by CoinGlass, there is evidence of traders actively engaging in short selling of IMX derivatives. This is evident from the notable increase in negative funding rates observed on perpetual swaps.
Despite the recent surge, the native token of ImmutableX remains far below its all-time highs recorded during the crypto market bull run at the end of last year. IMX hit an all-time high of more than $9.30 at that time.
Although the price of the IMX has demonstrated considerable strength, investors should be vigilant for indications of sustained momentum above important support levels and be wary of any potential pullbacks.
While the positive signs suggest IMX could remain a market challenger, traders should always put risk management first.
(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).
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