Conflux (CFX) bounced back from $0.047 and broke out of a multi-month descending channel. After holding the $0.05 level, the token climbed to a five-month high of $0.064.
Trading around $0.0604, Conflux recorded a 17% increase on the daily charts, while trading volume surged 1,071% to $157 million to reflect a sharp increase in market activity. The price movement coincided with reports that the Chinese Communist Party and State Council called for a national blockchain network as part of a broader economic blueprint.
Market Activity and Derivatives Surge
The policy proposal targeted an integrated computing power network to link blockchain infrastructure with national digital development plans. Because Conflux positions itself as a regulatory-compliant public, permissionless blockchain in China, the announcement renewed investor interest, though available evidence did not confirm a direct role for Conflux in the proposed network.
Market demand followed the news closely across both derivatives and spot markets:
- Derivatives volume climbed 2,007% to reach $449 million.
- Open Interest surged 44% to $44 million.
- Spot traders engaged in aggressive accumulation, with a positive Buy Delta of approximately 24 million.
The significant jumps in both open interest and volume indicated increased participation as traders opened new leveraged short and long positions.
Technical Indicators and Price Outlook
On the technical side, the Relative Strength Index (RSI) formed a bullish crossover and rose to 68, indicating rising buyer dominance and confirming a trend shift. If recent demand holds, analysts watch for a potential push past $0.07 toward the next resistance level at $0.077. Conversely, if speculation surrounding China's policy decree fades, the token could experience a drop toward $0.055.
