XEC has continued its uptrend today, September 19th, after a sharp spike from $0.000022 to a high of $0.000028 on September 18th. This price movement represents an increase of almost 23%.
Although there is a slight pullback, the price remains around $0.000027. In the early hours of today, XEC was trading at $0.000027, with a price increase of 15% over 24 hours.
But at the time of writing, XEC was trading at $0.000026, down 4% in the last 24 hours. Nevertheless, it is trading volume continues to rise 311% in the last 24 hours, indicating increased network activity.
Interestingly, the ongoing uptrend has continued over the past seven days, with prices up more than 17%. Bullish momentum has allowed XEC to retain most of its gains over the past month, with its price up 8% over 30 days. But what drives it and how long can it last?
What is driving XEC’s rally and how long will the rally last?
The eCash ecosystem has witnessed exciting developments that have attracted tremendous interest from investors in the past few weeks. These developments could well be the driving force behind XEC’s impressive performance.
One of those innovations is the eCash mainnet integration with RocketX, a crypto swapping platform. This integration helps users easily exchange various cryptocurrencies, including BTC, ETH, and Cosmos, with the XEC token, increasing network activity.
Beyond the 13th of SeptembereCash developers have announced that PayButton, an online payment portal for suppliers, now supports XEC. The upgraded one Payment buttonwhich was first launched in February 2019, will make it easier for online sellers to monitor their payments.
According to the developers, the goal is to increase the use of eCash online. They also aim to achieve greater adoption by making eCash easy to use.
The upgrade has likely piqued investor interest given the rise in global relevance of e-commerce. According to Santiment factseCash witnessed a 270% increase in social volume in the last three days. Moreover, network development has increased by 120% in the past seven days.
While these developments boosted the price of XEC in recent days, the longevity of the ongoing rally remains uncertain given the unpredictable nature of the market. However, the following analysis may provide clues.
Buyers show dominance on the daily chart: will their load support XEC’s rally?
A close examination of the daily chart suggests that the bulls are determined to enable more gains for XEC. Their strong market dominance is evident from the formation of the large green candle on the daily chart.
Although the token’s price remains below the 200-day Simple Moving Average, the top wick of today’s candle has a charge above this price level ($0.0000277). This suggests that the bulls intend to sustain the rally for longer.
Nevertheless, XEC is bullish in the short term as buyers have managed to keep the price above the 50-day SMA. This observation also confirms a continuous accumulation of the tokens, leading to the prevailing price increase.
Given these technical indicators, the uptrend will continue if XEC closes above the 200-day SMA in the coming days. Moreover, the Relative Strength Index (RSI) of 64.2, which is approaching overbought territory, confirms the dominance of buyers.
Furthermore, this setup signals an accumulation phase in which more traders open new long positions in anticipation of further price gains. The ongoing rally is likely to continue until XEC reaches an overbought condition when buyers reach saturation. However, a retracement after entering the overbought zone is still possible.
Featured image from Pixabay and chart from TradingView.com