- XCN, the Onyxcoin token, has surged over 200% in the last week, entering the top 200 cryptocurrencies.
- TRON founder Justin Sun has accused the XCN team of engaging in market manipulation, raising concerns about potential risks for investors.
- The team has denied the allegations and is currently investigating the situation with HTX Global.
XCN, the governance token of the Onyx ecosystem, has recently recorded a meteoric rise, surging over 200% in the past week. However, this explosive growth has raised eyebrows after Justin Sun’s post. The founder of Tron publicly accused the platform for engaging in significant market manipulation through high-leverage trading and complex contracts, posing a potential risk to exchange users.
In a series of tweets, Sun warned that these activities could have serious consequences for the cryptocurrency market. He further stated that he would be reporting these alleged illegal activities to the SEC and DOJ for further investigation.
The XCN team has vehemently denied these accusations, stating that neither they nor their partners are involved in any trading or contract trading of XCN. They attributed the recent surge to organic growth and increasing interest in the Onyx ecosystem.
Despite the controversy, XCN continues to climb the cryptocurrency rankings, capturing the attention of many investors.
The 4-hour chart for the XCN/USD pair showcases the formation of clear bullish flag. This pattern is characterized by a period of consolidation within an ascending channel (the flag) followed by a sharp breakout to the upside.
With significant volume, the breakout suggest strong buying pressure. The price has already surpassed the initial resistance level and is now targeting higher levels.
Potential Targets For XCN
Based on the size and strength of the breakout, the price could potentially target the following levels:
TP1: $0.026 (nearly 50% retracement of the flagpole)
TP2: $0.032 (approximately 61.8% retracement of the flagpole)
However, a sustained high volume is crucial for the bullish trend to continue. Secondly, the breakout level and the lower trendline of the flagpole provide potential support levels in case of a temporary pullback.
It’s essential to implement proper risk management strategies, such as setting stop-loss orders below the breakout level.
Additionally, due to the ongoing controversy surrounding market manipulation allegations by SUN. Investors should exercise extreme caution when considering XCN. Further developments and investigations will be crucial in determining the future trajectory of this volatile cryptocurrency.
