Onyxcoin has fallen 15% over the past week amid broader cryptocurrency market fluctuations. The digital asset trades at $0.0132 as of press time, recording an additional 1% decline while most other cryptocurrencies attempt recovery.
The altcoin remains trapped in a bearish cycle with multiple technical indicators suggesting additional price erosion may follow. Market data reveals a persistent downward trend that has separated XCN from the modest rebounds seen elsewhere in the crypto sector.
Technical analysis of the XCN/USD daily chart confirms the asset trades below its 20-day exponential moving average, establishing resistance at $0.0137. This key indicator, which calculates average trading prices with greater weight given to recent activity, typically signals momentum direction in cryptocurrency markets.
"When price action consistently remains below the 20-day EMA, it generally indicates weakening market sentiment as sellers maintain control," according to trading analysts familiar with altcoin markets. The current position suggests XCN faces significant hurdles to reverse its declining trajectory without substantial new buying interest.
The Ichimoku Cloud, a more complex technical indicator used to identify market trends and potential resistance zones, further reinforces the bearish outlook for Onyxcoin. XCN currently trades well below both Leading Spans A and B of this indicator.
Market technicians note that when prices fall beneath the Ichimoku Cloud formation, it typically confirms a downtrend is firmly established. For XCN, this technical pattern creates dynamic resistance levels at $0.0154 and $0.0300, presenting substantial barriers to any potential recovery attempts.
The altcoin has maintained a descending parallel channel pattern since January 25, continuously driving prices lower over nearly two months. With selling pressure appearing to intensify rather than diminish, analysts project XCN will likely remain confined within this bearish formation.
Should current market conditions persist, price targets suggest XCN could decline to $0.0117, representing an additional 11% drop from current levels. This projection aligns with the overall technical picture that shows little sign of reversing.
However, market observers note that if buying interest unexpectedly materializes, XCN would first need to overcome immediate resistance at the $0.0137 level marked by its 20-day EMA. Only after clearing this hurdle could the asset potentially challenge the more significant resistance at $0.0154.
The continued weakness comes despite attempts by some cryptocurrency assets to recover from recent market-wide corrections, highlighting XCN's particular vulnerability to current selling pressure.