Are you holding any NEM (XEM)? Then you need to HODL even further because this coin is about to head to the moon very soon. You may have noticed that in the last few weeks, this coin has seen massive declines in value after the Coincheck hack. This decline was driven by two factors.
The first one was the fear that Coincheck would be unable to refund investors. This kinda dampened the mood around NEM and the crypto market in general. It brought forward the soft underbelly of the cryptocurrency market, and the massive risks that investors face. Given that NEM (XEM) was in the middle of this hack, it’s only natural that its price has been hit the hardest.
The second reason for its fall was the fear that the stolen NEM (XEM) would be dumped into the market, thereby hurting the price even further. But this fear seems to be subsiding. Probably investors have realized that XEM’s relatively high market cap, standing at over $3 billion, is a cushion to its value. Even if the stolen NEM’s were to be dumped into the market, the impact would be negligible. Besides, this possibility has already been factored into the current price.
Now that Coincheck has announced that it is refunding the stolen NEM’s, the market seems to be on a rebound. Just like NEM was most affected by the general negative sentiment against cryptos after the Coincheck hack, XEM coin is now leading the resurgence in optimism. NEM has already gained more than 10% in the last few hours. This is a sign that the NEM resurgence is underway.
But this bullish momentum is not just driven by the news of a refund, there is also the fact that XEM coin is way undervalued right now. That’s because on top of the recent decline of the overall cryptocurrency market, NEM (XEM) has declined even further due to the Coincheck hack. This makes it a relatively underpriced coin relative to its fundamentals. In essence, you can expect demand by investors looking to take advantage of its relatively low prices to push up its value.
A quick look at the NEM (XEM) chart validates the argument that this is a coin that is about to hit the moon. The RSI of this coin is below 30, which is strong oversold territory. In other words, XEM coin has hit its bottom. Therefore, the news from Coincheck is just the trigger that XEM coin needed to gain it’s upwards momentum. Otherwise, from a technical perspective, the timing is just right for NEM (XEM) to shoot up.
Based on the above factors, you have a very good reason to hold on to your XEM coins. If you don’t have any of them, this might be a good time to make an entry. If the price continues to rise by the same magnitude it has done in the last few hours, then NEM (XEM) could easily hit $1 in the next few days!