The GMX token traded sideways on Tuesday, September 24, as most cryptocurrencies continued to consolidate and volume in its ecosystem declined.
GMX (GMX) was trading at $25.2, slightly above its low of $21.55 this month. It has risen more than 44% from its low this year, taking its market value to over $244 million.
GMX, one of the leading players in the on-chain perpetual futures sector, has seen its volume decline in recent weeks.
Data from DeFi Llama shows the exchange has traded more than $144 million in the past 24 hours and $924 million in the past seven days, overtaking Hyperliquid, which trades futures tokens worth over $7.6 billion during that period.
GMX has also been outperformed by other decentralized exchanges such as dYdX, Satori Finance, Orderly Network, and Jojo.
According to Dune Analytics, the total value locked in GMX across all chains has declined from over $692 million in 2023 to $440 million.
GMX DeFi TVL | Source: Dune
GMX hopes to regain market share by introducing new innovative products. Last week, the developers launched the kink lending model across all markets, increasing the available liquidity by 30% to 40%.
There is also speculation that GMX will soon be deployed on Solana (SOL), one of the most popular chains in the industry. Developers are working to enable GMX staking, which will allow users to generate rewards. In July, members voted to introduce more revenue distribution methods on the network.
Buybacks are starting. GMX Solana distribution is coming soon. Strong DeFi revival narrative. Deepest on-chain liquidity Perp DEX. Market cap is rising = GMX is rising, history shows.
— Jonezee 🫐 (@Jonas_ALA) September 23, 2024
Like other futures networks, GMX has seen its trading volume decline in recent months. That volume reached $321 billion in March, when Bitcoin (BTC) hit a record high of $73,800. Its monthly volume in September was $291 billion, DeFi Llama said.
GMX token still under pressure GMX token chart | Source: TradingView
The GMX token remains under pressure despite rallying over 40% from its lowest point this year. It has failed to turn the 50-day and 100-day Exponential Moving Averages into support levels.
GMX also remains below the 23.6% Fibonacci retracement level, suggesting that bears are still in control. Therefore, the GMX token is likely to resume its downtrend and retest this month’s low of $21.68.