MYX Finance has recently navigated a turbulent period, experiencing a significant price drop after a remarkable rally. However, beneath this immediate downturn, a deeper look reveals a surprising resilience and potential for renewed growth, driven by robust on-chain activity and a discernible shift in market sentiment.
Underlying Protocol Strength Persists
Despite a recent 33% price correction, MYX's fundamental protocol health remains remarkably strong. The Total Value Locked (TVL) on the platform has surged to an all-time high of $27.6 million, signaling enduring investor confidence and expanding utility. Complementing this growth, both daily protocol revenue and fee generation have also reached unprecedented levels, indicating active user participation and healthy transaction volumes that underscore the protocol's operational vigor.
Shifting Momentum in Derivatives
The initial price dip was linked to negative funding rates, suggesting a dominance of short positions. Yet, this dynamic appears to be reversing. Recent data indicates the Open Interest (OI) Weighted Funding Rate has turned positive, signifying a growing prevalence of long positions across the derivatives market. This shift suggests that bullish traders are increasingly asserting their presence and could soon regain market control, potentially triggering short squeezes and a price rebound. For this recovery to solidify, MYX will need to firmly defend the critical $2.3 support zone against any lingering bearish pressure.
