Why did the price of CFX fall?

Conflux (CFX) dropped 1.48% in the last 24 hours, underperforming the overall crypto market, which rose by 1.73%. This decline is mainly due to investors taking profits after recent gains, mixed technical signals, and a lack of momentum around upcoming strategic decisions.

1. Profit-taking after a strong rally – CFX jumped 104% over the past 90 days, leading some traders to sell and lock in gains.
2. Technical resistance levels – The price couldn’t break through the $0.18–$0.20 range, indicating bearish pressure.
3. Delayed impact from partnerships – A key governance vote on treasury deals is still pending, reducing immediate positive sentiment.

Deep Dive

1. Profit-Taking After Strong Mid-Term Gains (Bearish Impact)

Overview: Over the last 90 days (up to October 3, 2025), CFX’s price surged 104%, helped by network upgrades like Conflux 3.0 and new stablecoin partnerships. However, the recent 24-hour price drop coincides with a 7.85% decrease in trading volume, suggesting that traders are cashing out some of their profits after this strong run.

What this means: After big price jumps, it’s common to see some pullback as traders take profits. The 24-hour Relative Strength Index (RSI) at 42.02 shows neutral momentum, while the MACD histogram at -0.00053934 points to weakening buying pressure.

What to watch: Whether CFX can hold support at the 50-day Simple Moving Average (SMA) around $0.1615, or if it will test the 200-day SMA near $0.1441.

2. Technical Resistance at Key Levels (Mixed Impact)

Overview: CFX has struggled to break through the $0.18–$0.20 resistance zone, a key price barrier since July 2025 (source). Currently, the price is near the 38.2% Fibonacci retracement level at $0.16797, with immediate support at the 50% retracement level of $0.1618.

What this means: When a price can’t break resistance, it often leads to pullbacks as traders exit positions. The 7.85% drop in trading volume supports the idea that buyers are hesitant to push prices higher right now.

What to watch: If CFX closes below $0.146 (the 78.6% Fibonacci level), it could trigger more selling pressure toward the 2025 low of $0.135.

3. Delayed Catalyst Impact From Strategic Proposals (Neutral Impact)

Overview: A proposal made on September 2 (source) aims to lock CFX tokens in public company treasuries for over four years. This could reduce the circulating supply and support prices long-term. However, the community vote on this proposal is still pending, which has left traders cautious.

What this means: Market participants often wait for clear outcomes on governance decisions before reacting. The 14.87% price drop over the past 30 days reflects this uncertainty.

What to watch: The announcement of the vote date and details about the partnership will be key to reigniting positive momentum.

Conclusion

The recent dip in CFX’s price reflects a natural pause after a strong third-quarter rally, combined with technical resistance and delayed governance decisions. While the mid-term outlook remains positive thanks to upgrades and stablecoin partnerships, short-term price action will depend on whether key support levels hold.

Key watch: Will CFX stabilize above $0.15, or will profit-taking push it down toward the 2025 low of $0.135? Keep an eye on the MACD crossover and trading volume trends for early signs of direction.

What could affect the price of CFX?

Conflux’s price is caught between positive developments linked to China and the usual ups and downs of alternative cryptocurrencies.

1. Tree-Graph 3.0 upgrade – The network’s new version aims to handle up to 15,000 transactions per second (TPS), but real-world use will show if it can deliver.
2. AxCNH stablecoin growth – Using the offshore Chinese yuan in trade through the Belt & Road initiative could increase demand for CFX.
3. Corporate treasury lockups – If approved, public companies could lock up CFX tokens for up to four years, potentially reducing supply and supporting the price.

Deep Dive

1. Tree-Graph 3.0 Adoption (Mixed Impact)

Overview:
In August 2025, Conflux upgraded to Tree-Graph 3.0, boosting its theoretical capacity to 15,000 transactions per second and adding support for AI tools. Despite this, daily transactions stayed around 50,000—similar to before the upgrade as of September 2025—indicating limited real-world use so far.

What this means:
For the price to rise sustainably, Conflux needs to show that businesses are actually using the network, especially for things like cross-border payments with AxCNH. If major partners along the Belt & Road, such as Zoomlion, don’t join in (CoinJournal), doubts may return about whether Conflux can stand out as a “regulatory-compliant” blockchain compared to competitors like VeChain.

2. AxCNH Stablecoin Integration (Bullish Impact)

Overview:
Conflux’s AxCNH stablecoin, pegged 1:1 to the offshore Chinese yuan, started pilot programs in Singapore and Malaysia in August 2025 to support cross-border trade. Partners include big names like Lenovo and the state-owned company Eastcompeace (AMBCrypto).

What this means:
If AxCNH’s monthly transaction volume grows from about $15 million to over $100 million, CFX could become the main blockchain for trade settlements in China’s Belt & Road region, potentially boosting its value. However, challenges like China’s capital controls and the dominance of U.S. dollar stablecoins (e.g., Tether’s recent $20 billion fundraising Tether’s $20B raise) could limit adoption.

3. Corporate Treasury Partnerships (Bullish Impact)

Overview:
A governance proposal from September 2025 suggests that publicly traded companies could hold CFX tokens in locked treasuries for running network nodes or managing real-world assets. These tokens would be locked for at least four years, potentially reducing the circulating supply by about 10% if approved (MEXC News).

What this means:
If companies like a Hong Kong-listed pharmaceutical biotech firm participate, this could create steady demand for CFX, similar to how MicroStrategy’s Bitcoin purchases influenced that market. However, CFX’s recent 30% drop over 60 days might make cautious companies hesitant compared to more established cryptocurrencies like Bitcoin or Ethereum.

Conclusion

Conflux’s outlook over the next several months depends on proving its usefulness in Belt & Road trade through AxCNH and wider adoption of Tree-Graph 3.0. Locked token supply could help support the price. The big question is: Can Conflux turn its regulatory compliance in China into real transaction growth by early 2026, or will it stay a speculative bet tied to “China crypto” stories? Keep an eye on AxCNH’s monthly trade volume and the results of the corporate treasury vote.

What are people saying about CFX?

Conflux’s CFX is gaining attention as China pushes blockchain technology, but opinions are divided between excitement and caution. Here’s the latest:

1. New stablecoin trials and system upgrades are boosting hopes for cross-border use
2. Big investors are driving price jumps, but overbought signals warn of possible pullbacks
3. Token burns and staking programs are reducing supply while attracting institutional interest

Deep Dive

1. @genius_sirenBSC: Conflux 3.0 & Yuan Stablecoin Launch 🚀 (Positive)

"CFX aims for $0.30 after upgrade as network speed hits 15,000 transactions per second, plus AxCNH stablecoin pilots in Singapore and Malaysia starting August 1"
– @genius_sirenBSC (82K followers · 1.2M impressions · 2025-08-03 04:27 UTC)
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What this means: This is good news for CFX because integrating payments along China’s Belt & Road initiative could increase real-world use, and the upgrade helps solve previous speed limitations.

2. @johnmorganFL: Short Squeeze Risks ⚠️ (Mixed)

"CFX saw $11 million in short positions forced to close during July rally – RSI at 93 signals caution despite China’s stablecoin progress"
– @johnmorganFL (217K followers · 3.8M impressions · 2025-07-20 12:26 UTC)
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What this means: This is a mixed signal. While forced buying pushed prices higher, the very high RSI (Relative Strength Index) suggests the price might be overextended and could drop soon.

3. CoinDesk: On-Chain Activity Lags Price (Negative)

"CFX transaction volume is still down 40% compared to 2022 highs, despite a 190% price increase – 80% of network fees are paid by just 3 wallets"
– CoinDesk (4.2M followers · 2025-08-04 04:47 UTC)
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What this means: This is a warning sign. The network’s actual usage hasn’t grown with the price, and most activity is concentrated in a few wallets, which raises concerns about genuine demand versus speculation.

Conclusion

Opinions on CFX are mixed. On one hand, China’s push for blockchain compliance and new stablecoin projects are promising. On the other, worries about centralization and speculative trading remain. Keep an eye on how the AxCNH stablecoin performs after its August pilot and whether the promised 15,000 transactions per second from the 3.0 upgrade show up in real network activity. If CFX breaks above $0.28, it could confirm bullish momentum; if it falls below $0.17, some investors might start taking profits.

What is the latest news about CFX?

Conflux is making progress with new partnerships and technical improvements, even as the market faces ups and downs. Here are the key updates:

1. AxCNH Offshore Yuan Stablecoin Launch (September 22, 2025) – Designed to simplify cross-border payments for China’s Belt & Road Initiative.
2. HTX DAO Shanghai Ecosystem Meetup (September 14, 2025) – Focused on compliant decentralized finance (DeFi) and cross-chain technology.
3. Public Company Treasury Proposal (September 3, 2025) – Suggests locking CFX tokens in company treasuries for over four years.

Deep Dive

1. AxCNH Offshore Yuan Stablecoin Launch (September 22, 2025)

Overview
Conflux teamed up with AnchorX to launch AxCNH, a stablecoin pegged to the offshore Chinese yuan (CNH). This stablecoin aims to make cross-border payments easier for countries involved in China’s Belt & Road Initiative, such as Singapore and Malaysia. It’s officially licensed by Kazakhstan’s Astana Financial Services Authority and uses Conflux’s blockchain for transaction settlements.

What this means
This move is positive for CFX because it positions Conflux as a key player in China’s digital currency plans, potentially increasing the number of transactions on its network. However, challenges remain due to China’s strict capital controls and ongoing geopolitical issues. (AMBCrypto)

2. HTX DAO Shanghai Ecosystem Meetup (September 14, 2025)

Overview
Conflux developers participated in an event hosted by HTX DAO, focusing on combining centralized finance (CeFi) and decentralized finance (DeFi) models, as well as tokenizing real-world assets. Discussions centered on building flexible trading systems and meeting Hong Kong’s crypto regulations.

What this means
This partnership strengthens Conflux’s position in Asia’s regulated DeFi market. With HTX DAO’s community of over 800,000 token holders, it could boost liquidity and governance activity on Conflux’s platform. (Decrypt)

3. Public Company Treasury Proposal (September 3, 2025)

Overview
Conflux proposed a governance vote to allow public companies to hold CFX tokens in their corporate treasuries, run network nodes, and provide liquidity. The tokens would be locked for more than four years to encourage long-term commitment.

What this means
This proposal is somewhat positive—it could reduce the number of tokens being sold by locking them up, but its success depends on whether companies decide to participate. Currently, CFX’s price is down 18% over the past month, reflecting some doubts about this plan’s execution. (MEXC News)

Conclusion

Conflux is focusing on building partnerships with institutions and advancing the use of the offshore yuan in digital form. However, mixed reactions from the market show there are risks ahead. The big questions remain: Will AxCNH expand beyond Asia, and will public companies embrace holding CFX in their treasuries?

What is expected in the development of CFX?

Conflux’s roadmap is focused on improving scalability, integrating stablecoins, and growing its ecosystem.

1. v3.0.1 Hardfork Optimization (September 1, 2025) – Final network upgrades to improve Ethereum Virtual Machine (EVM) compatibility and overall performance.
2. Offshore Yuan Stablecoin Pilot (Q4 2025) – Testing a blockchain-based stablecoin for cross-border payments in Belt and Road countries.
3. AI & Real-World Asset (RWA) Infrastructure (2026) – Adding AI support for smart contracts and enabling tokenization of real-world assets.

Deep Dive

1. v3.0.1 Hardfork Optimization (September 1, 2025)

Overview: This upgrade activated CIP-156, which enhances compatibility with the Ethereum Virtual Machine (EVM) and fixes important bugs. Node operators needed to update their software before September 1, 2025, to stay connected to the network (Conflux Network).
What this means: This is positive for CFX because better EVM compatibility makes it easier for Ethereum developers to build on Conflux. This could lead to more decentralized apps (dApps) and higher network use.

2. Offshore Yuan Stablecoin Pilot (Q4 2025)

Overview: Conflux is working with AnchorX and Eastcompeace to launch AxCNH, a stablecoin pegged 1:1 to China’s offshore yuan (CNH). This pilot focuses on cross-border payments in Belt and Road countries like Malaysia and Kazakhstan (Coinspeaker).
What this means: This is a positive development for CFX as it supports China’s push for digital currency adoption and could attract institutional users and increase liquidity. However, there are risks from regulatory challenges in the countries involved.

3. AI & RWA Infrastructure (2026)

Overview: The long-term plan for Conflux 3.0 includes integrating AI agents to automate smart contracts and expanding tools to tokenize real-world assets such as commodities. The network aims to handle up to 15,000 transactions per second (TPS) to support these features (CoinMarketCap).
What this means: This is cautiously optimistic for CFX. While AI and real-world asset tokenization could increase the network’s usefulness, there are risks related to execution and competition from other blockchains like Ethereum and Solana.

Conclusion

Conflux is focusing on technical improvements, strategic stablecoin pilots, and building high-speed infrastructure to strengthen its position in China’s blockchain space. Recent upgrades have made the platform more attractive to developers, but long-term success will depend on regulatory support and real-world adoption. How AxCNH performs in cross-border trials could significantly impact CFX’s value in 2026.

What updates are there in the CFX code base?

Conflux recently rolled out important updates to improve its performance and compatibility.

1. v3.0.1 Hardfork (August 12, 2025) – Improved network stability and RPC services.
2. v3.0.0 Upgrade (August 1, 2025) – Better Ethereum Virtual Machine (EVM) compatibility and faster transaction processing.
3. CIP-156 Activation (September 1, 2025) – Made the protocol more efficient at a fundamental level.

Deep Dive

1. v3.0.1 Hardfork (August 12, 2025)

Overview:
This update fine-tuned the previous v3.0.0 hardfork by fixing bugs and optimizing RPC (Remote Procedure Call) services, which help applications communicate with the blockchain.

A key part of this update was activating CIP-156, which simplifies some of the protocol’s rules. It also fixed rare bugs that could cause problems when nodes (computers running the network) sync with each other. Node operators needed to upgrade by September 1, 2025, to stay compatible with the network.

What this means:
This is good news for CFX holders because it makes the network more reliable and improves tools for developers building apps on Conflux. Less downtime means users can trust the system more.
(Source)

2. v3.0.0 Upgrade (August 1, 2025)

Overview:
This was a major update that introduced eight new Conflux Improvement Proposals (CIPs). These included better compatibility with Ethereum’s Virtual Machine (EVM), which allows developers to use Ethereum-based tools and smart contracts on Conflux. It also improved how transactions are processed.

The upgrade aimed to handle up to 15,000 transactions per second (TPS) using Conflux’s Tree-Graph consensus mechanism. It also added support for AI-powered smart contracts, opening doors to new, innovative applications.

What this means:
This is positive for CFX because faster transaction speeds and Ethereum compatibility attract more developers. The AI integration also positions Conflux as a forward-thinking blockchain platform.
(Source)

3. CIP-156 Activation (September 1, 2025)

Overview:
As part of the v3.0.1 hardfork, CIP-156 improved how gas fees (transaction costs) are calculated and how blocks are validated.

This reduces the computing power needed by nodes, helping the network scale better during busy times.

What this means:
This update mainly helps node operators by lowering their costs. While it doesn’t directly affect CFX users, it supports the network’s long-term health.

Conclusion

Conflux’s recent upgrades focus on making the network faster, more compatible with other blockchains, and easier for developers to use. These improvements support Conflux’s goal to become a leading platform for enterprise-level blockchain solutions. It will be interesting to see how these changes influence CFX’s use in cross-border payment systems and other real-world applications.