The price of the IMX token, native to the non-fungible tokens (NFTs) platform ImmutableX, soared around 25% in the last 24 hours to US$0.67, registering the biggest increase among the 100 largest cryptocurrencies by market value.
The movement goes against the market trend this Thursday (21), as the main digital assets retreated. Bitcoin (BTC), for example, depreciated 1.3% in the last 24 hours.
The rise has been the subject of speculation in the market. This is because there have been no major updates or partnerships revealed by the core team behind the ImmutableX protocol. What happened, however, was a large movement of traders from South Korea.
Understand the IMX high
As CoinDesk reported, the rise in the price of the IMX token is in line with a more than 22% increase in global trading volume in 24 hours, which rose to US$556 million.
The Korean Won pair, IMX/KRW, listed on South Korea’s Upbit exchange, accounted for nearly 20% of global activity. Next comes the IMX/USDT pair on Binance, which contributed 7% to total volume, according to CoinGecko.
According to blockchain sleuth LookonChain, Upbit-linked wallets accumulated 12.53 million IMX ($9.27 million) as the cryptocurrency soared. The balance was then transferred to the address starting “0x2F77AE…”, which now holds over 20 million IMX tokens.
Rising prices have caused some market participants to move their coins to exchanges, perhaps in an attempt to liquidate their holdings.
“Investors unlocked 3.05 million IMX ($2.3 million) from the Foundation Treasury Locked wallet after the price of IMX increased, possibly dumping it into the market,” he wrote LookOnChain no X (Twitter).
For cryptocurrency analyst Labs Benjamin, the price of IMX could witness “a cascading drop” once the “pump” on South Korean exchanges is complete.
Since its inception, Immutable has positioned itself as a protocol focused on blockchain-based gaming. Over the years, the protocol managed to double its trading volume, which grew up to 10 times with a recent partnership with Polygon.