Immutable X (IMX) declined 12% on daily charts, trading around $0.11 after breaching key support levels. The altcoin fell from $0.12 to a low of $0.106 before a modest rebound, amid broader market weakness.
Trading activity surged during the decline. IMX's volume jumped 218%, while daily turnover climbed to $5.06 million, a three-week high, reflecting intense selling pressure as traders reduced exposure.
Derivatives Market Drives Decline
Selling pressure intensified in the derivatives market. Perpetual sell volume on Binance reached 41 million compared to 39 million in buy volume, according to Coinalyze data. Perpetual bet buying fell to -6 million, indicating more positions were closed than opened.
Open Interest in IMX futures fell 8.4% to $16.7 million, the lowest level since September. Derivatives volume surged 268% to $37 million, as traders closed positions to reduce risk exposure.
Spot Market Shows Different Pattern
While derivatives traders reduced exposure, spot market investors withdrew tokens from exchanges. IMX's spot netflow dropped to -$0.4 million on October 30th, suggesting movement to cold storage and private wallets following broader market disruptions.
Higher exchange withdrawals could reduce immediate selling pressure by lowering token supply available on trading platforms.
Technical Outlook
Momentum indicators signal weakness. IMX's Relative Strength Index dropped to 26, entering oversold territory. The Relative Vigor Index formed a bearish crossover into the negative zone, suggesting strong downtrend momentum.
These technical signals indicate the downtrend may continue if risk-averse sentiment persists. However, sustained exchange outflows could help absorb selling pressure and potentially support the $0.12 level.
