Conflux woke up after several days of sideways trading. It prints what many call a “god candle,” as it is experiencing one of its biggest upticks.
The coin opened the day at $0.106 and surged, flipping one level after another. Nonetheless, the 4-hour chart shows that it struggled to break above $0.155, testing the mark more than once without any success.
After flipping the price level, the asset broke above another critical mark. It broke above $0.180 for the first time in months. The flip is significant as the last time it attained the mark was in the third week of January.
Nonetheless, it continued to rise, reaching another critical milestone. It flipped $0.20 and $0.24 later on before peaking around $0.251. Currently trading at $0.21, the coin is up by almost 102%. However, at its peak, CFX gained a whopping 136%.
The reaction trailing the latest surge has been primarily positive. One investor expressed his feelings, stating that his investment has more than doubled after he had consistently invested for 27 days. He made this comment when the asset was up by 55%.
The coin has since climbed up the market cap ranking. It wasn’t in the top 100 earlier, but it broke into the ranks and sits at 81 at the time of writing.
What’s Fueling The Run?
The project recently hosted the “Conflux Technology & Ecosystem Conference 2025.” The second day of the event ended with several bullish announcements from key stakeholders. One of the news items that thrilled many was the impending upgrade to the Treegraph public blockchain.
The Treegraph 3.0 will launch in August and will effect several improvements across the network. One such feature is that the blockchain will have the capacity to process 15,000 transactions per second. The upgrade will enable the project to support artificial intelligence agent calls and on-chain payments of real-world assets.
Another development is the impending launch of the RMB stablecoin pilot, which will comply with China’s regulatory laws. It is worth noting that the project recently announced its partnership with China Telecom and Little Red Book.
All these thrilled users, who showed their excitement by stacking up the asset. Data from CoinMarketCap indicates that the coin saw a whopping 3,747% surge in trading volume over the last 24 hours.
What Next for Conflux?
The cause of the latest increase is fundamentals, and the main event is yet to take place. The coin may continue to experience a notable increase in the days leading up to the official upgrade.
However, the asset’s current price indicates that traders are taking profit already. It trades more than 30% lower than its high. The more than 100% price increase will likely result in further declines. Currently, short-term holders are selling off; others may join in.
The relative strength index is above 70. Currently at 93, the asset is overbought and due for a massive retracement. The slight decline may be the start of a downtrend that will see Conflux shed off more than half its gains.
The bollinger bands print a similar sell signal. CFX broke above the upper band a few hours ago and continues above at the time of writing. The coin may retrace to the red around $0.153.
