MYX Finance (MYX) plummet 33%, but TVL set a record of 27.6 million USD – What is really happening?

MYX Finance (MYX) has just experienced a strong wave of capital withdrawal in the past 24 hours, with a total value fall of about 33% — a notable development after this asset previously increased by more than 395% last month.

Nevertheless, amidst the downward trend, some positive signals have emerged — suggesting that upward momentum may be forming again and opening up opportunities for a new recovery wave of MYX.

Platform growth remains strong

Notably, the downward trend in the market does not accurately reflect the on-chain activity or the actual performance of MYX. On the contrary, this platform continues to maintain solid health, as investors continue to place their trust in the long-term price appreciation prospects of the token.

The total value locked (TVL) – a core indicator showing the growth level of the protocol – continues to rise, setting a new record at 27.6 million USD, according to data from DeFiLlama.

Source: DeFiLlamaIn that song, the revenue and transaction fees of MYX have also surged, reflecting the increasing user interaction and vibrant on-chain activity. In just the past 24 hours, the revenue and fees generated by the protocol have reached 6,700 USD and 567 USD respectively – the highest since MYX officially launched earlier this year.

Positive Signals Amidst Pessimistic Context

Although the price of MYX is adjusting, the derivatives market is revealing signs of recovery as the bulls gradually regain control.

Data from CoinGlass shows that the funding rate has shifted to positive, reaching 0.0111% — a significant increase, reflecting the optimistic capital flow returning.

Source: CoinGlassThis indicates that the Long side is gradually regaining the initiative. If this trend continues, a short squeeze may occur.

This development further strengthens the positive signals in the derivatives market, indicating that a short-term recovery may be very close.

Technical Analysis: Support Area Determines Trend

The price chart of MYX is reflecting a contradictory picture.

The price has a tendency to gradually slide towards an important support zone, coinciding with the Fibonacci retracement level – where notable technical reactions often occur.

If the bears pull MYX down to the 2.3 USD area, buying pressure from pending orders may emerge, opening up a short-term recovery opportunity. However, the strength of liquidity in this area remains uncertain.

Source: TradingViewConversely, if the support level of 2.3 USD is breached, bears may increase their control, pushing the price down further and significantly narrowing short-term profit margins.

SN_Nour