Onyxcoin has surged over 10% as it tests the resistance from its 200%+ rally earlier this month — could another parabolic breakout be on the horizon?
Onyxcoin (XCN) is up 10% over the past 24 hours, currently trading around $0.020, with 24-hour trading volume surging by over 100%. The price action is now showing signs of a potential breakout from the tight range between $0.016 and $0.020, where it has been consolidating after an explosive move between April 9 and 11 from $0.008 to $0.027. That 237% pump marked a decisive breakout from a prolonged downtrend, which ensued after a parabolic rally in late January.
Since that breakout, the price has been holding above both short-term and longer-term moving averages, including 20-day EMA, as well as the 50, 100, and 200-day SMAs, signaling a a major shift in market structure. Not only is the price above them, but they are beginning to stack in bullish order, with the shorter-term MAs crossing above the longer-term ones, often a precursor to trend continuation.
On the momentum side, the RSI is sitting at 64.10, indicating there’s room for further upside before entering overbought zone. The MACD line remains above the signal line, and the histogram continues to print green, albeit with some flattening, which reflects a short-term consolidation rather than a loss of momentum.
The ATR remains subdued, which means volatility is not explosive, so the current trend is sustainable. Lower ATRs during consolidation after a breakout often precede another leg higher, especially when the trend is supported by strong moving average alignment and volume—which it is.
The next immediate target is $0.027, where price topped out during the 237% rally on April 11. If this is cleared, XCN could revisit the distribution range after the January parabolic spike and reach $.035, representing 75% from the current levels. If the bullish structure continues with rising volume, $0.05 could come into play, which was the peak of the January blow-off top and is also a psychological resistance (half a cent).
The bullish thesis would be invalidated if XCN price breaks below the $0.016–$0.020 support zone, especially if accompanied by a spike in volume and a drop below the 20-day EMA. Such a move would suggest that recent upward momentum was a false breakout.
Despite the clean chart, some traders have called the recent XCN price action shady, especially after Binance Futures listed XCN after it had already ripped 150% on April 11. Volume blew up on Coinbase, not Binance, and the price stalled right after the listing. This might mean that rally was artificially inflated before the listing, and after the hype died down, the price didn’t continue upwards because bigger players were shorting it.
However, XCN price is now testing the upper boundary of its consolidation range, hinting at a potential breakout. While shorting could still be in play, it’s getting riskier for bears as price approaches or breaks above the range.
