Flux price rallies as locked $FLUX supply soars to $108m
Flux price continued its bullish trend this week as demand for the small-cap cryptocurrency continued. The token rose to a high of $1.41 on Tuesday, which was the highest level since May 5th of this year. It has jumped by more than 237% from its lowest level this year, pushing its total market cap to over $340 million.
Why is FLUX soaring?
Flux, formerly known as Zel, is a blockchain infrastructure platform that helps developers build and host their applications. Its ecosystem includes FluxOS, which is a second-layer operating system that allows hardened dockerized apps to run on a decentralized computational network. Some of the applications running on Flux are Haven Protocol, Docushield, Keep Network, and Element among others.
As part of its ecosystem, Flux has FluxNodes, Parallel Mining, and Zelcore among others. Therefore, while most people don’t interact with Flux directly, most developers use it to build their applications.
There are several reasons why Flux price has been in a strong bullish trend lately. First, more investors have been buying the coin. For example, data shown in its dashboard shows that the total locked in its ecosystem has risen to over 108.5 million $FLUX. This is a strong performance since it was less than $100 million a few months ago.
Another possible reason for the rally is the upcoming launch of Flux Geolocation 2.0 feature that will let users specify by region where they want their dApp running. This is a major upgrade that is expected to go live in the coming months.
Finally, technically, the coin has bullish momentum now that its performance has been in an uptrend. Historically, soaring cryptocurrencies and stocks tend to attract more buyers as people embrace the fear of missing out mentality.
Flux price prediction
The daily chart shows that Flux price has been in a strong bullish trend in the past few weeks. Along the way, the coin managed to move above the 25-day and 50-day moving averages. It also managed to move above the important resistance level at $1.24, which was the highest point on August 13.
The awesome oscillator has moved above the neutral point. Therefore, there is a likelihood that the token will keep rising as buyers target the next key resistance level at $1.50. This view is in line with what I wrote in another report on Flux. A drop below the support at $1 will invalidate the bullish view.