The value of Onyxcoin (XCN) has dropped by 15% in the last week and appears likely to continue falling as selling activity intensifies.

Additionally, there are indications that a crucial technical signal, known as a death cross, may be on the horizon. This occurrence often foreshadows further price drops.

Analysis of the XCN/USD daily chart by BeInCrypto shows a potential formation of a death cross on the Moving Average Convergence Divergence (MACD) indicator. This bearish sign occurs when an asset's MACD line crosses below the signal line, indicating a shift from bullish to bearish market momentum. Typically, this pattern heralds significant price declines, especially when coupled with decreasing trading volume and overall market uncertainty.

Presently, XCN's MACD line is nearing a crossover below the signal line. If confirmed, this death cross would suggest heightened selling pressure and mark the beginning of an extended downtrend. Moreover, the recent double-digit decline in XCN's value has brought it closer to its 20-day exponential moving average (EMA). This key indicator calculates an asset's average price over the preceding 20 days, giving more importance to recent price movements.

The approach towards the 20-day EMA implies weakening support from buyers as sellers continue to dominate the market. Failure to maintain a price above this crucial moving average could lead to a deeper market correction.

The impending MACD death cross and a potential drop under the 20-day EMA indicate a clear shift toward a bearish market sentiment. These indicators suggest a growing bearish trend, with minimal buyer activity to reverse the ongoing price decline.

Should the downward trend persist, XCN's value could decline to $0.0075. Conversely, a surge in demand for XCN could invalidate the bearish forecast and potentially drive the token's price above $0.0174, possibly reaching $0.023.