MYX Finance (MYX), the native token of the decentralized exchange, has suffered a dramatic collapse in February, losing over 70% of its value since February 8 and entering oversold territory for the first time in its trading history. The token's price fell nearly 30% in a single 24-hour period, trading around $1.50, with some analyses pointing to a potential drop toward the $1.22 or even $1.00 support levels.
The sell-off has been driven by intense profit-taking, forced liquidations, and panic selling, exacerbated by broader bearish conditions in the cryptocurrency market. Technical indicators, such as the Money Flow Index (MFI), show severe capital outflows, highlighting the intensity of the recent selling pressure.
A significant shift in MYX's correlation with Bitcoin (BTC) has added to the bearish outlook. Since February 8, the correlation coefficient has flipped from a negative 0.42 to a positive 0.47, meaning MYX is now more closely tracking Bitcoin's price movements. With Bitcoin itself stuck in a consolidation phase without a meaningful recovery, this stronger positive correlation suggests MYX could continue to mirror BTC's weakness, delaying any potential relief rally.
Analysts note that while the oversold condition typically precedes short-term bounces, the fragile market sentiment and persistent outflows could hinder accumulation. A brief price bounce toward the $1.40-$1.50 supply zone is considered possible due to a bullish divergence on the Awesome Oscillator, but the overall trend remains decisively downward. Reclaiming the $1.68 support level is seen as a critical first step for any recovery attempt.
