A new partnership provided a short-lived sentiment lift for Conflux (CFX), but broader downward pressure keeps the token’s outlook fragile.
Price action and volume
- After being rejected near $0.146 almost a month ago, CFX has been trading inside a descending channel and dropped to a local low close to $0.06.
- Following weeks of weakness, the token staged a bounce that briefly reached $0.078 before pulling back. At press time CFX sat at $0.072, up 8.7% on the day.
- Trading activity surged: volume jumped 358% to about $58 million, and market capitalization climbed toward the $400 million mark — signs of renewed short-term participation even as the price structure remains vulnerable.
The partnership catalyst
- Conflux and gaming studio PlaysOut announced a collaboration to explore AI-driven gaming, cross-chain interoperability and scalable blockchain infrastructure. Plans also include AI-supported engagement tools, next‑generation gaming use cases, potential mini-games deployed in Conflux’s Layer‑1 environment, Web2-to-Web3 onboarding initiatives and regional market expansion.
- The announcement acted as an immediate sentiment catalyst, triggering speculative buying across spot markets as traders rushed in to avoid missing potential short-term gains.
On-chain and order-flow signals
- Binance order data (Coinalyze) showed Buy Volume climbed to 74.83 million versus 67 million in Sell Volume between Dec. 24–25, producing a positive Buy–Sell Delta of roughly 7.8 million — a clear sign of aggressive spot accumulation on the back of the news.
- CryptoQuant’s Spot Taker CVD registered buyer dominance at a weekly high on Dec. 24, indicating fresh demand across the spot ecosystem rather than a single-exchange phenomenon.
- However, CoinGlass data recorded spot netflow turning positive for the first time in nearly three weeks, with net inflows of about $1.73 million — a pattern often associated with increased exchange deposits and short-term profit realization after sharp rallies. Historically, similar profit-taking spikes have preceded renewed downside pressure for CFX when the broader trend is weak.
Technical picture
- Momentum indicators painted a mixed picture: the Relative Strength Index briefly entered bullish territory around 54 before sliding back to ~47, suggesting recent buying was partially absorbed by sellers.
- The Trend Strength Index (TSI) remained negative at around -11, signaling persistent bearish pressure and a contested market structure.
Near-term outlook
- The market appears caught between buyers trying to defend the short-term bounce and sellers keeping the longer-term trend intact. If buyers can sustain momentum, a move toward approximately $0.093 becomes plausible. If sellers regain control, CFX could slip to around $0.068.
Takeaway
- The PlaysOut partnership injected fresh interest and drove sizeable buying across spot markets, but on-chain flows and technicals underline that the rebound is tentative. Traders should watch volume sustainability, netflow behavior and whether buyers can push price out of the descending channel before declaring a broader trend reversal.
Disclaimer
This article is informational and not investment advice. Cryptocurrency trading carries high risk; do your own research before making investment decisions.
Sources: AMBCrypto, Coinalyze, CryptoQuant, CoinGlass, TradingView.
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