MYX Finance delivered one of the most aggressive intraday rises in the cryptocurrency market this week. After nearly two weeks of sustained decline, the altcoin surged by 90% in under 12 hours. The sudden turnaround surprised short traders and reignited speculative interest.
The rise came after the news of MYX Finance's strategic funding round led by Consensys, with participation from Consensys Mesh and Systemic Ventures. The announcement came ahead of the launch of MYX V2. Investors interpreted the support as a confirmation of long-term viability, which triggered immediate demand.
MYX Finance's rise was predicted
BeInCrypto's analysis highlighted that a rise was already likely. The Money Flow Index, which measures buying and selling pressure based on price and volume, fell below the threshold of 20.0. This marked the first time MYX entered extremely oversold territory since launch.
Oversold signals often indicate exhaustion among sellers. When the MFI falls below 20.0, downward momentum typically weakens. The data suggested that panic-driven distribution had reached a saturation point. As the selling pressure eased, new accumulation began and laid the foundation for a strong rise.
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Derivative positions confirm the bullish shift. The liquidation map shows that MYX contracts are currently weighted towards long positions. Approximately $2.46 million in long positions are active, reflecting increasing optimism among traders.
Also, funding rates have become positive. Positive funding means that long traders are paying to maintain their positions. This signals belief in further increases. However, increased leverage could lead to high volatility if the momentum stalls.
The MYX price rose by 90% on Friday, lifting the 24-hour gain to 70.6%. As of this writing, the token trades at $1.74. The movement partially offsets the 87% significant decline noted over the previous 12 days.
The next resistance level is at $1.82. A clear break above this level could pave the way towards $2.28. Sustained volume and capital inflow will be necessary to confirm any potential breakout upwards. Without confirmation, the upside may remain vulnerable.
If the rise was primarily driven by speculation around the funding round, selling pressure could quickly return. If the gains are not maintained, MYX could fall back towards $1.01. Such a decline would invalidate the bullish premise and wipe out much of the recent increase.