Ellipsis (EPX) Token Price Showcases Pump-and-Dump Behavior After 40% Rally
Key Takeaways:
Ellipsis coin soared 38%, then pared half of its gains.
EPX’s target price stands 6% lower in the coming session.
The coin’s on-chain metrics and social presence don’t show heightened activity, hinting at a possible ‘pump and dump.’
YEREVAN (CoinChapter.com) — Ellipsis (EPX) dropped 15% to $0.00019 on Sep. 19, albeit its trading volumes soared by over 1,000%. Notably, the correction came after a 38% rally the previous day, best visible on the four-hour chart.
Ellipsis Technical Analysis
As of 07:00 GMT, the token headed for a previous support/resistance line at $0.00018, or 6% lower than the current EPX price. Notably, the 20-4h exponential moving average (20-4h EMA; red wave) could provide short-term support for the token.
However, EPX is unlikely to hold the altitude if the selling pressure builds.
Meanwhile, parallel to EPX’s choppy performance, the trading volumes remained high at over $12 million in the previous 24 hours, and the rally does not seem to be founded in any fundamental development. This asks if the Sep. 18 price increase was a “pump-and-dump” scheme.
Ellipsis (EPX) Pulled a Nonsense Rally
In detail, Ellipsis is a Binance Chain-based decentralized exchange (DEX) and a fork from Curve Finance.
EPX, as its utility coin, can be used for staking or stored on Ellipsis to run blockchain operations. However, the EPX traders did not buy the coin for its utility, as the total value locked (TVL) on Ellipsis flatlined throughout September.
Moreover, the DEX did not announce any news concerning its operations or the token.
Its official X.com (Twitter) account has not been active for the previous month except for Binance Chain-related tweets. To top off the fishy EPX rally, 80% of the token’s liquidity is held by Binance, which could mean fewer players are behind the possible pump-and-dump.
Interestingly, none of the EPX address categories have moved their holdings since Aug. 21, according to on-chain data tracker Santiment. Moreover, there have been no large transactions detected since then either.
Thus, despite the bullish low-risk reading from the analytical platform Investors Observer, traders should be cautious of EPX and thoroughly research before investing. As of Sep. 19, the Ellipsis token traded 94% below its all-time high of $0.003 in June 2022.
The post Ellipsis (EPX) Token Price Showcases Pump-and-Dump Behavior After 40% Rally appeared first on CoinChapter.
Filed under: Bitcoin - @ September 19, 2023 12:26 pm