Myx Finance sinks 33%, but TVL touches $ 27.6 million ATH – here is how

Important collection restaurants

What signals a potential rebound for Myx despite the recent drop?

Rising TVL, record protocol income and a positive financing percentage suggest that Bullish Momentum can build.

What important level should myx retain to prevent further disadvantage?

MyX must defend the $ 2.3 support zone to prevent increased bearish control and deeper price drops.

Myx finance [MYX] has seen a large outflow in the past day and lost on the press of around 33%, in the midst of a broader market background where it collected more than 395% in the past month.

Ambcrypto analysis shows that the fall was driven by a steep decrease in market financing percentages, which decreased considerably to a negative 0.0033%.

This suggests that short traders now pay more on financing costs, which emphasizes a shift in sentiment on the derivatives market.

Despite this decrease, there are early signs of positive momentum structure on the protocol that could ultimately cause renewed growth in the price of MyX.

Protocol growth still in place

The recent market collection has not reflected the activity on the chains or the performance of the protocol. In fact, the underlying health of Myx remains surprisingly bullish, because investors are retaining a positive prospect in the price of the token.

The total value locked (TVL), which measures the growth of the protocol, has continued to increase, which means that a record high of $ 27.6 million has become, according to the latest data from Fill.

In particular, both the generation of reimbursements and income from the protocol have been reflected, which confirms active user participation and transaction growth on-chain.

The income and reimbursements generated in the past day also reached their all-time highlights since the launch of the protocol earlier this year-on in $ 6,700 and $ 567 respectively.

Growth in the midst of negative prospects

Despite the recent decrease, the prospects on the derivatives market suggest that bulls are slowly recovering and will soon be able to achieve a complete return.

According to Coinglass -DataThe open interest (OI) weighted financing percentage has become somewhat positive on the graph, with a speed time reading of 0.0111%, a remarkably higher figure that points to renewed bullish interest.

Source: Coinglass

This indicates that although short traders still pay financing costs, the market now entails a greater volume of long positions. In this case it suggests that bullish traders can quickly regain dominance, so that short sellers may be forced into liquidation as the market shifts to their advantage.

This development contributes to the growing signs of bullish activity in the derivatives market, indicating that a short -term prize prize can be on the horizon.

What does the graph say?

Graph analysis presents a mixed prospect. MyX probably seems to be moving to an important support zone that is marked by the Retracement line from Fibonacci.

If Bears push myx to the level of $ 2.3, the question of the buy-side of hanging orders can come across the question. However, the liquidity strength in this region remains uncertain.

Source: TradingView

Not holding this level can give bears more control, which leads to more downward pressure and limited profit in the short term.