ImmutableX Price Recovers 12% Since July Dip to $1.14 – Why IMX Could be Starting a Major Uptrend

Key Takeaways

• IMX recovered 15% since the July 5 low.
• ImmutableX reports record-breaking growth for 2024.
• Potential uptrend if IMX breaks descending resistance.

IMX has struggled since early July, losing 31% from its peak of $1.64 to a low of $1.13 on July 5, falling below its horizontal support zone. 

It wasn’t long before the token bounced back with a 15% surge, gaining momentum to challenge crucial resistance levels. With ImmutableX’s latest report showing impressive growth, could this signal the onset of a significant upswing?

Immutable X Fundamentals 

ImmutableX, a Layer-2 blockchain scaling solution focused on NFTs on Ethereum (ETH), reported record-breaking growth for 2024. In a blog  post on July 7, the project announced it had signed over 150 games in the first half of the year, surpassing its 2023 record.

The report highlighted ImmutableX’s various business ventures and plans amid a bearish market. The platform reported signing over 380 well-funded games and is expected to launch an “Ecosystem Boost Program” in collaboration with MARBLEX, a gaming platform by Netmarble, a major South Korean game publisher.

ImmutableX’s recent additions include The Mystery Society, Ships That Fight Underground, Baby Shark Universe, Devomon, and Somnis Rumble Rush. 

In addition to its business ventures, the Layer-2 network also made its foray into the zero-knowledge sphere with Immutable zkEVM, launched earlier this year. It has since garnered 2 million monthly users, with Immutable Passport wallet sign-ups surging to 1.5 million. According to DefiLlama, the total value locked (TVL) in Immutable zkEVM has reached $14 million since its March debut.

IMX Price Analysis

On September 11, IMX established a higher low at $0.50, initiating a new uptrend that culminated in a breakout to a high of $3.80 on March 12, 2023, and the completion of a five-wave impulse, which was quickly followed by a downturn.

IMX fell to a low of $1.70 on April 13, a 55% decline. Since then, it has attempted to establish an uptrend, recovering only marginally and forming a symmetrical triangle consolidation pattern. 

Despite its efforts, IMX continued its descent and reached $1.13 on July 8, landing on the 0.786 Fibonacci retracement level from its previous uptrend.

Consequently, IMX’s daily chart RSI has fallen into the undervalued zone at 30%, signaling a potential recovery. Although the MACD remains bearish on the oscillator, the moving averages are starting to show positive convergence.

A breakout above the descending resistance line could mark the beginning of a potential uptrend. Confirmation would follow with a move above the April 22 high of $2.50, establishing a higher high after a higher low.

Should these conditions materialize, IMX could target levels above $3, potentially entering its third wave within a larger five-wave impulse. In such a case, the target would be the 1.618 Fibonacci extension at $6.7, contingent upon further confirmation through its price structure.