The price of Conflux (CFX) increased for the second consecutive day as cryptocurrencies rebounded amid the ongoing crisis hounding the banking sector.
Binance reports that CFX is the top-performing cryptocurrency on Monday. CFX achieved a peak of $0.2093, which was approximately 50% higher than the token’s all-time low less than a week earlier.
In recent weeks, the price of CFX tokens increased by nearly 700%, reaching a high of $0.3595. CFX was trading at $0.2599 at the time of writing, up 38% in the previous 24 hours and 31% in the past seven days.
Conflux Rises On Legalization Of Crypto Trading In HK
Conflux’s trading volume grew in response to the enormous demand for China-related blockchains and tokens. It is the first blockchain in China that complies with regulatory requirements and uses the Tree-Graph consensus technique to boost bandwidth and scalability.
According to analysts, the legalization of crypto trading in Hong Kong is the key factor behind Conflux’s increase. The expectation is that China will soon follow.
The price of CFX has risen dramatically as word of this has circulated. Yet, it is unclear whether this report of China opening its market to cryptocurrencies is merely a speculation or whether it is grounded in truth. This has not hindered Conflux users from achieving profits in excess of 1,000%.
Continual wagers that the U.S. Federal Reserve would not be as hawkish as anticipated also contribute to the growing price of CFX.
The majority of analysts anticipate that the central bank will be more cautious in dealing with inflation in the upcoming sessions due to the changing market conditions.
In February, the U.S. economy added over 300,000 jobs, according to data released on Friday. The unemployment rate is stagnant around 3.6%, although wage inflation is declining. Experts predict that the United States’ inflation rate remained high last month.
The blockchain’s recent agreement with China Telecom to deliver Web3-enabled mobile devices with blockchain-powered SIM cards has yielded substantial benefits.
It is predicted that Conflux would connect conventional industry to Web3 technologies. Conflux has also recently formed a strategic agreement with NFT-social media site Little Red Book.
Banking Crises: A Boon For Crypto?
Banking crises can provide a favorable atmosphere for the widespread adoption of cryptocurrencies as an alternative investment and store of wealth.
Reduced confidence in conventional banking institutions, inflation fears resulting from the printing of more currency, and a rise in demand for safe-haven assets can all contribute to this.
CFX total market cap at $674 million on the daily chart | Chart: TradingView.com
Some investors view cryptocurrencies as a safer choice because of their limited supply and decentralized nature.
Meanwhile, the global crypto market capitalization recovered and reclaimed the $1.02 trillion milestone over the weekend, following several days of decline.
At the time of writing, the global crypto market valuation was $1.03 trillion, representing an 8.33% increase over the previous 24 hours.
-Featured image from NASA