Synthetix's native token SNX saw a 1.38% price increase over the past hour to reach $2.94 at the time of writing. Looking at key metrics, SNX has a market cap of $785.53 million and 24 hour trading volume of $71.71 million. Over the past day, SNX has surged 11.96%, while it is up 7.62% and 3.44% for the week and month respectively. Zooming out further, SNX has gained 15.54% during the last 6 months.
Analyzing the numbers, SNX’s 1.38% short-term price increase comes after a very bullish past 24 hours, suggesting momentum is continuing higher. This uptrend follows a period of consolidation around the $2.50-$2.70 level, where SNX established solid support.
Looking ahead, the technical outlook remains positive for SNX. It has found a bullish footing, breaking out of its trading range. The 11.96% surge over the past day shows strong momentum. Traders may look for a retest of $3.00-$3.10 resistance if buying pressure persists. Overall, SNX looks poised to resume its broader uptrend.
In summary, the recent data paints an upbeat picture for SNX in the short and medium term. Traders may look to buy on dips and minor pullbacks. However, some volatility is to be expected given the major move yesterday. Maintaining a bullish bias aligned with the uptrend seems prudent.
Should You Buy SNX Now or Wait for a Retracement?
With SNX climbing today following a big surge, some traders may wonder if now is an optimal time to buy or if waiting for a pullback is better. While a dip may materialize after yesterday's rally, trying to time the exact bottom is difficult.
For long-term investors, dollar cost averaging over time allows benefiting from dips when they do come. For short-term traders, buying retracements with a disciplined stop-loss lets you ride further upside while controlling risk. Considering the bullish backdrop, buying SNX on weakness seems reasonable.
Is SNX a Good Long-Term Investment?
SNX appears well-positioned as a strong long-term investment at current prices. As a leading DeFi protocol for synthetic assets, Synthetix provides exposure to real-world assets on-chain. This unique utility should continue expanding as DeFi grows.
Despite risks, SNX has proven itself as a top DeFi bluechip with resilient demand. With more platforms integrating Synthetix synthetic assets, SNX has solid long-term upside potential. For crypto investors with longer timeframes, SNX deserves consideration as part of a balanced portfolio.