Conflux (CFX) has had a positive run so far in 2023 and is among the best performing altcoins in the first half of the year. However, the “Chinese Ethereum” has been trading in the red for the past few days. CFX lost nearly 16% of its value in the past week, according to CoinGecko data.
DWF Labs Acquires $18 Million in CFX Tokens
This CFX price drop comes despite its acquisition by DWF Labs in the past week. On Wednesday, June 28, the Conflux network announced that it has purchased $18 million worth of token from multistage investment company Web3.
DWF Labs supports Conflux with $18 million!
DWF Labs, a global digital asset marketplace maker and multi-stage Web3 investment firm, has reaffirmed its commitment to supporting Conflux’s growth.https://t.co/ogOLJHvbQH
To demonstrate their commitment, DWF Labs purchased $18 million worth of…
— Official Conflux Network (@Conflux_Network) June 28, 2023
This latest investment follows on from the initial $10 million purchase of CFX tokens in March. It is seen as a demonstration of DWF Labs’ commitment to “support the growth of Conflux”.
In a tweet, the head of DWF labs, Andrei Grachev, highlighted how the network is an excellent technology and his company’s willingness to increase its CFX holdings.
@Conflux_Network is a clear example of how a great team, technology, BD, GR and PR should perform. We have known each other for ages and I am more than happy to increase our $CFX holdings and support the boys with everything.
Long East, Long HQ, Long Web3
LFG! pic.twitter.com/hSzb3VYjfP— Andrey Grachev (@ag_dwf) June 28, 2023
Conflux has earned a reputation as cutting-edge technology thanks to its “Tree-Graph” consensus algorithm, which enables the blockchain to achieve a high transaction throughput (tps) of up to 6,000 transactions.
As suggested earlier, the Conflux ecosystem has been experiencing steady growth since the turn of the year. Recently, the blockchain unveiled a partnership with dappOS that promises mutual benefits for both entities.
Conflux so far in 2023 – Price overview
The price of CFX has been on an upward trajectory for most of the year, rising 825% in the past six months. This price rally is consistent with the expansion and increased adoption of the Conflux ecosystem.
At the height of this rally, Conflux announced several strategic partnerships with some of China’s largest companies. In particular, the tree graph consensus algorithm Layer-1 network announced a partnership with China Telecom in February to develop a blockchain SIM card (BSIM).
However, we have seen the token price trend down from its high earlier this year. Since reaching its annual peak of $0.4613 on March 20, the CFX token has lost more than 55% of its value, trading as low as $0.176 in mid-June.
At the time of writing, CFX is changing hands for $0.204467, according to CoinGecko Data. This represents an increase of 1% in the last 24 hours. That being said, the price of the token has been falling for the past few weeks and is down more than 28% in the last month.
CFXUSD trading at $0.205142 | Source: CFXUSD chart from TradingView
The Conflux token has a daily trading volume of $44.4 million, down 62.6% from the past day. A drop in 24-hour trading volume indicates a recent drop in market activity.
Featured image of SoFi, chart from TradingView