China's only public blockchain Conflux sees CFX price skyrocket 1300% in 2023

Conflux Network (CFX) is up astir 500% successful the past week with CFX emerging arsenic 1 of the best-performing crypto assets successful 2023 arsenic China appears to be warming to cryptocurrency trading. 

What is Conflux Network?

Interestingly, Conflux Network, besides known arsenic Shanghai Tree-Graph Blockchain Research Institute, is the lone regulatory-compliant, nationalist and permissionless blockchain successful China. Conflux is simply a layer-1 blockchain operating connected a hybrid proof-of-work and proof-of-stake mechanism.

CFX's terms has rallied astir 1,335% year-to-date (YTD) to scope $0.3254 arsenic of Feb. 24, its highest level successful fourteen months. In comparison, the combined marketplace capitalization of crypto assets has surged astir 45% YTD.

CFX/USD regular terms chart. Source: TradingView

Why is Conflux Network terms rallying?

Strong fundamentals person chiefly driven the CFX terms higher successful 2023.

For instance, the CFX terms accrued by much than 90% connected Jan. 26, 2 days aft Conflux Network's concern with Little Red Book, a China-based societal media platform, to supply nonfungible token (NFT) services.

The concern enabled Conflux Network to bring its services to Little Red Book's 200 cardinal idiosyncratic base.

CFX/USD regular terms chart. Source: TradingView

Similarly, connected Feb. 15, Conflux Network partnered with China Telecom to make and aviator a blockchain SIM (BSIM) paper work successful Hong Kong, frankincense gaining vulnerability to the latter's 350 cardinal users. CFX's terms has rallied 450% aft the announcement.

The high-profile deals besides helped boost queries for keywords related to Conflux Network, frankincense hinting astatine an expanding retail interest. For instance, the worldwide Google Trend people for the keyword "Conflux Network" reached 93 and 100 successful the Jan. 22-28 and the Feb. 12-18 period, respectively.

Interest implicit clip for the keyword 'Conflux Network' worldwide. Source: Google Trends

Social media was mostly focused connected Conflux Network's large concern deals, according to information from Santiment amusement below.

Social media measurement for Conflux Network. Source: Santiment

In addition, the CFX marketplace bull tally besides comes up of the ballot connected its token pain connection sometime this week.

So far, the buzz for Conflux Network is palpable. However, that does not safeguard the CFX terms from undergoing a monolithic correction successful the coming weeks.

CFX terms rally is "overbought"

From a method standpoint, the CFX's ongoing terms roar has near it highly overbought.

On some regular and play charts, CFX's comparative spot scale has crossed supra 70, which hints that its ongoing uptrend is adjacent exhaustion. In addition, the Conflux Network token is investigating the $0.28-0.41 scope arsenic resistance, which served arsenic enactment from May to November 2021.

CFX/USD play terms chart. Source: TradingView

A pullback from the absorption country could person CFX terms autumn to $0.097-$0.141 arsenic its superior downside target. The scope besides coincided with the token's 50-week exponential moving mean (50-week EMA; the reddish wave) adjacent $0.108, down astir 65% from existent terms levels.

Conversely, a decisive breakout supra the $0.28-0.41 scope could person CFX terms rally toward $0.84, its absorption from May-September 2021 session

This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.