Why did the price of CFX fall?
Conflux (CFX) dropped 0.55% in the last 24 hours to $0.143, continuing a 17.6% decline over the past week. Three main reasons explain this drop:
- Technical Weakness – Indicators like the RSI are near oversold levels, and CFX failed to hold support at $0.15.
- Profit-Taking – After a strong 90% gain in 90 days, traders are likely cashing out amid uncertain market conditions.
- Lack of New Drivers – Recent news about partnerships (HTX DAO, AxCNH stablecoin) hasn’t provided immediate reasons for price growth.
Deep Dive
1. Technical Breakdown (Bearish Impact)
Overview: CFX fell below an important support level at $0.15, which is tied to a common technical tool called the Fibonacci retracement. It’s also trading below key moving averages, like the 7-day average price of $0.1485. The RSI (Relative Strength Index) is at 34.38, close to oversold, but there hasn’t been a bounce back yet, showing weak buying interest.
What this means: Negative signals like the MACD histogram and failed attempts to recover suggest traders are selling. The next resistance level is around $0.152, but if CFX falls below $0.135 (its lowest point in 2025), selling pressure could increase.
2. Post-Rally Profit Rotation (Mixed Impact)
Overview: Between June and August 2025, CFX surged 90%, helped by its 3.0 upgrade and its connection to China-focused stablecoins. However, the price has dropped 19% in the last 30 days, indicating traders are taking profits as momentum slows.
What this means: Without new major developments, short-term traders may shift their investments to assets with clearer growth potential. The 24-hour trading volume for CFX dropped 29% to $23.3 million, showing less market enthusiasm.
3. Broader Market Headwinds (Bearish Impact)
Overview: The overall crypto market fell nearly 6% last week, while Bitcoin’s dominance rose to 57.77%. Increased fear among investors and lower stablecoin trading volumes have negatively affected altcoins like CFX.
What this means: CFX’s performance was slightly worse than the overall market (-0.55% vs. -0.71%), and because it tends to follow Bitcoin’s moves closely, it could face more pressure if Bitcoin struggles to stay above $108,000.
Conclusion
CFX’s recent decline is due to technical selling, profit-taking after a big rally, and cautious market sentiment. While its focus on China-related projects like stablecoins and real-world assets offers long-term promise, short-term traders are waiting for clearer signs before jumping back in.
Key watch: Will CFX hold the $0.135 support level, or will breaking it lead to a deeper drop toward $0.10?
What could affect the price of CFX?
Conflux’s price is currently caught between growing interest from China-related projects and uncertain market conditions.
- AxCNH Stablecoin Pilot – This offshore yuan-backed stablecoin aims to support trade along China’s Belt & Road Initiative, which could increase demand for CFX. However, if adoption is slow, it could weigh on the price.
- Corporate Treasury Lockups – Some public companies may lock up their CFX holdings for four years, reducing the available supply and potentially supporting the price. This depends on governance approval.
- Conflux 3.0 Upgrade – The recent network upgrade improved transaction speed but caused short-term price volatility. Technical indicators suggest the price may be oversold and could bounce back.
Deep Dive
1. Offshore Yuan Stablecoin Adoption (Mixed Impact)
Overview:
Conflux has launched AxCNH, a stablecoin pegged 1:1 to China’s offshore yuan, designed to facilitate cross-border payments in countries involved in the Belt & Road Initiative, such as Malaysia and Kazakhstan. Pilot testing started on August 1, 2025, with partners AnchorX and Eastcompeace (The Block).
What this means:
If AxCNH gains traction, it could make Conflux the main blockchain platform for China-related trade, increasing demand for CFX tokens. However, restrictions on capital flow and geopolitical issues might limit adoption outside Asia, which could cap growth potential.
2. Public Company Treasury Partnerships (Bullish Impact)
Overview:
A proposal submitted on September 2 aims to lock up CFX tokens held by public companies for at least four years, which would reduce the circulating supply. Voting on this proposal ends in mid-September (Yahoo Finance).
What this means:
If approved, and if 2-3 companies participate, this could take about 10% of the current 5.14 billion CFX tokens out of circulation, creating scarcity that may support prices. If key partners like PetroChina do not join, the market might react negatively after the announcement.
3. Post-Upgrade Technical Sentiment (Bearish Near-Term)
Overview:
Conflux’s version 3.0.1 upgrade, completed on September 1, fixed bugs and improved compatibility with Ethereum-based applications but caused a 10% price drop. Currently, CFX trades below its 30-day moving average ($0.1716), with the Relative Strength Index (RSI) at 34.38, indicating weak but potentially stabilizing momentum.
What this means:
The price is approaching a key support level at $0.135 (78.6% Fibonacci retracement). Falling below this could lead to further declines toward $0.1174 (200-day moving average). On the upside, reclaiming $0.1747 (50% Fibonacci retracement) would be a positive sign for buyers.
Conclusion
The medium-term outlook for CFX depends largely on how well the AxCNH stablecoin is adopted and whether corporate treasury lockups are approved. Technical indicators suggest caution until the price moves back above $0.1747. With Bitcoin dominating 57.8% of the market, altcoins like CFX remain sensitive to broader market liquidity changes.
Key question to watch: Will AxCNH’s monthly transaction volume exceed $500 million by the fourth quarter of 2025, proving Conflux’s usefulness in real-world trade?
What are people saying about CFX?
Conflux (CFX) is gaining momentum as part of China’s blockchain strategy. Here’s what’s happening:
- Stablecoins are driving price rallies of over 100%.
- The upcoming Conflux 3.0 upgrade aims for 15,000 transactions per second (TPS) and AI features.
- A short squeeze caused a dramatic 40% price jump in one day.
In-Depth Look
1. Offshore Yuan Stablecoin Launch Signals Growth
@genius_sirenBSC reports:
"CFX is being used through AEON Pay at over 20 million merchants. A yuan-pegged stablecoin is targeting payments along China’s Belt & Road Initiative."
See original post
What this means: This is positive news for Conflux because it positions the network as a key player in China’s cross-border digital currency projects. This could lead to strong demand from businesses using the platform.
2. Conflux 3.0 Upgrade Promises Big Performance Boost
@Conflux_Network shares:
"Launching Tree-Graph 3.0 on July 30 with 15,000 TPS, AI agent support, and Ethereum Virtual Machine (EVM) improvements."
See original post
What this means: This upgrade could attract developers building real-world asset (RWA) applications and payment solutions by significantly increasing speed and adding AI capabilities. However, there is always some risk that the upgrade might face delays or issues.
3. Short Squeeze Causes Price Spike, But Watch for Pullback
@johnmorganFL notes:
"$11 million in liquidations within 24 hours as CFX breaks the $0.10 resistance level. The Relative Strength Index (RSI) hit 93, indicating the asset is overbought."
See original post
What this means: The short squeeze pushed prices up sharply, but the high RSI suggests the price might stabilize or pull back before moving higher again. Expect some price consolidation between $0.17 and $0.21.
Conclusion
Overall, the outlook for Conflux (CFX) is optimistic but cautious. The network benefits from China’s stablecoin initiatives and upcoming technical upgrades, yet market indicators warn of possible short-term price corrections. Keep an eye on the AxCNH stablecoin pilot launching August 1 in Singapore and Malaysia—if it gains real-world use, it could support price targets around $0.30 that traders are discussing.
What is the latest news about CFX?
Conflux is making strategic moves to grow its presence in stablecoins and attract institutional investors, while navigating regulatory challenges. Here are the key updates:
- HTX DAO Partnership (September 23, 2025) – Joined forces at a Shanghai event to blend decentralized and centralized finance, expanding its network.
- AxCNH Stablecoin Launch (September 22, 2025) – Released a yuan-backed stablecoin aimed at improving cross-border payments along the Belt & Road countries.
- Public Company Treasury Proposal (September 2, 2025) – Suggested locking up CFX tokens in company treasuries for over four years, pending approval.
In-Depth Look
1. HTX DAO Partnership (September 23, 2025)
What happened:
Conflux partnered with HTX DAO at a Shanghai meetup to develop a hybrid system combining centralized finance (CeFi) and decentralized finance (DeFi), along with tokenizing real-world assets. This partnership taps into Conflux’s fast and low-cost blockchain and HTX DAO’s large community of over 800,000 token holders worldwide.
Why it matters:
This collaboration strengthens Conflux’s position in regulated, cross-chain financial services, especially in Asia. However, it faces stiff competition from established DeFi platforms like Ethereum and TRON, which may slow initial growth. (Decrypt)
2. AxCNH Stablecoin Launch (September 22, 2025)
What happened:
AnchorX introduced AxCNH, a stablecoin pegged to the offshore Chinese yuan, built on Conflux’s blockchain. It targets cross-border payments in Belt & Road countries. Pilot programs with companies like Zoomlion and Lenovo aim to reduce reliance on the U.S. dollar in international trade.
Why it matters:
AxCNH could increase the use of CFX tokens in global settlements. Still, adoption may be limited by China’s strict capital controls and the widespread use of U.S. dollar-backed stablecoins like USDT and USDC. (AMBCrypto)
3. Public Company Treasury Proposal (September 2, 2025)
What happened:
Conflux proposed that public companies lock up CFX tokens in their treasuries for more than four years. This move aims to build long-term institutional partnerships and includes plans for integrating node operations and managing real-world assets.
Why it matters:
If approved, this could reduce the number of CFX tokens available on the market and help align Conflux with traditional financial institutions. However, regulatory concerns and corporate hesitation about holding cryptocurrencies remain potential obstacles. (Yahoo Finance)
Conclusion
Conflux is focusing on growing its institutional use and stablecoin-based trade solutions, but challenges remain. The success of AxCNH outside Asia and the impact of corporate treasury deals will be key to reversing CFX’s recent 30% price drop over the past 60 days.
What is expected in the development of CFX?
Conflux is making progress with these key updates:
- AxCNH Stablecoin Expansion (Q4 2025) – Launching a yuan-backed stablecoin designed for easy international payments.
- Conflux 3.1 Hardfork (Q4 2025) – Improving network speed and adding AI features.
- Real-World Asset (RWA) Tokenization (2026) – Creating tools to digitize assets like real estate and commodities.
In-Depth Look
1. AxCNH Stablecoin Expansion (Q4 2025)
What’s happening:
Conflux is teaming up with AnchorX and Eastcompeace to expand AxCNH, a stablecoin tied 1:1 to China’s offshore yuan. It was first tested in countries along the Belt & Road, such as Singapore and Malaysia (CoinMarketCap). The full launch aims to make cross-border payments smoother and comply with Hong Kong’s stablecoin regulations.
Why it matters:
This could increase the use of Conflux’s network and attract big financial players. However, changing crypto rules in China could pose challenges.
2. Conflux 3.1 Hardfork (Q4 2025)
What’s happening:
After the major 3.0 upgrade that boosted transaction speed to 15,000 per second and added AI support, the 3.1 update will fix bugs and improve compatibility with Ethereum’s system. Node operators need to update their software to keep the network running smoothly (Conflux Network).
Why it matters:
These technical fixes should help developers build on Conflux more easily, though they might not immediately affect the coin’s price. Delays in updating could cause temporary network issues.
3. Real-World Asset (RWA) Tokenization Infrastructure (2026)
What’s happening:
Conflux plans to develop technology that turns physical assets like property and commodities into digital tokens. This effort aligns with Chinese regulations and partnerships such as with China Telecom’s blockchain SIM cards (Yahoo Finance).
Why it matters:
Tokenizing real-world assets could unlock huge new markets for Conflux. Still, it faces competition from platforms like Ethereum and must navigate complex regulations.
Summary
Conflux is focusing on expanding its yuan-backed stablecoin, improving its technology, and building infrastructure for real-world asset tokenization. These steps aim to establish Conflux as a leading blockchain platform compliant with Chinese rules. While recent upgrades have sparked interest, long-term success depends on real-world adoption. The big question: Will AxCNH become a go-to stablecoin for international trade?
What updates are there in the CFX code base?
Conflux’s software is actively being improved with new tools, protocol updates, and enhancements to its Ethereum-compatible features.
- Hardfork v3.0.1 (August 12, 2025) – Network performance was optimized and CIP-156 was activated.
- Java SDK CIP-37 Support (2025) – Made address handling easier for developers.
- CFX DevKit Launch (2025) – Simplified setting up nodes and deploying smart contracts.
Deep Dive
1. Hardfork v3.0.1 (August 12, 2025)
Overview: This update fixed bugs, improved remote procedure calls (RPC), and activated CIP-156 to fine-tune how the network reaches consensus. Node operators needed to upgrade by September 1, 2025, to stay compatible.
This was a follow-up to the major v3.0.0 hardfork, which introduced eight Conflux Improvement Proposals (CIPs) focused on making the network more compatible with Ethereum and increasing transaction throughput. The changes are backward-compatible, meaning they don’t disrupt existing applications but improve network stability and developer experience.
What this means: This update is neutral for CFX’s price since it focuses on cleaning up technical issues rather than adding flashy new features. However, smoother node operations could help attract more users and developers over time. (Source)
2. Java SDK CIP-37 Support (2025)
Overview: The Java Software Development Kit (SDK) now fully supports CIP-37 addresses. This means developers can easily convert between different address formats—hexadecimal, base32, and verbose—while keeping the network ID intact.
This update simplifies working with Conflux’s hybrid addressing system, which supports both Ethereum-style and native Conflux formats, without needing manual adjustments. It also improved error handling for invalid network IDs.
What this means: This is a positive development for CFX because it lowers the barrier for Ethereum developers to build on Conflux, potentially speeding up the migration of decentralized applications (dApps) to the platform. (Source)
3. CFX DevKit Launch (2025)
Overview: The community introduced the CFX DevKit, which includes preconfigured development containers, local node managers, and ready-to-use smart contract templates for both Core and eSpace environments.
By removing the need to set up complex configurations manually, this toolkit cuts setup time from hours to minutes. The project also includes a logo design contest with a $50 prize and encourages open-source contributions to boost community involvement.
What this means: This is good news for CFX because better developer tools can attract more builders to the Conflux ecosystem. However, it’s important to watch if this leads to increased activity on the network. (Source)
Conclusion
Conflux is focusing on both improving its core protocol and providing better tools for developers. While recent updates don’t include headline-grabbing features, they show a commitment to maintaining a solid and scalable infrastructure.
The key question: Will these improved tools lead to noticeable growth in on-chain activity in the last quarter of 2025?