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Mdex price prediction: Is a resurgence on the cards?

By Raphael Sanis

Edited by Charlie Mellor

13:08, 14 October 2022

The mdex cryptocurrency’s name and logo surrounded by swirling blue dots
Mdex is a decentralised exchange on the HECO, BNB Chain and Ethereum blockchains – Photo: Shutterstock

After seeing initial success at the beginning of 2021, the momentum appears to have run out for the decentralised exchange (DEXMdex and its mdex token, MDX. The decentralised exchange’s total value locked (TVL) has plummeted from its peak of $5bn to just $121m at the time of writing.

The MDX token has succumbed to the same trend. Its value has been crashing since May 2021.

But, as of 14 October, MDX was up an impressive 251% over the past week as a new perpetual trading feature launched on the exchange.

What is Mdex?

Mdex is a decentralised finance (DeFi) protocol that has developed its own exchange using automated market making (AMM) technology.

The exchange is setting itself apart from competition through its dual-chain model. It was built on the Ethereum (ETH) blockchain to take advantage of its liquidity. Meanwhile, it leverages the Huobi Ecological Chain (HECO) for its cheap transactions and scalability. Its CoinMarketCap page states: 

“Most newly-developed protocols heavily consider scalability factors in their choice of blockchain networks if they want a fast adoption rate… For this reason, the Huobi Ecological Chain-based Mdex claims a unique characteristic of being based on a chain that aims to avoid scalability problems.”

Since launching in January 2021, mdex has also expanded onto the BNB Chain, previously known as the Binance Smart Chain.

The MDX token

Along with its dual-chain system, the DEX is looking to grow its ecosystem with its own MDX token.

Investors can stake the cryptocurrency to earn yield in MDX and other tokens, including the Huobi Token (HT) and BNB.

Mdex has also integrated transaction mining, which subsidises users’ transaction costs. Combined with the HECO blockchain, it keeps fees roughly around the $0.10 mark.

In addition, Mdex has used a repurchase and burn model, a deflationary mechanism, to support the value of its cryptocurrency. However, MDX’s price has seen a steady downtrend over the past year.

MDX price history

MDX opened at $3.24 on 27 January 2021 and almost immediately saw its biggest surge to date.

MDX all-time performance

Source: CoinMarketCap

The DEX managed to take on market leaders in its first month with it experiencing a 24-hour transaction volume of $1.4bn, more than UniSwap and SushiSwap, according to a press statement.

The cryptocurrency reached its all-time high of $10.06 on 22 February. While its price eventually crashed back down to the $3 mark on 20 March, platform activity continued to grow.

XRP/USD

0.60 Price
-0.360% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168

SOL/USD

172.64 Price
-1.280% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 2.2652

ETH/USD

3,489.46 Price
-1.060% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00

DOGE/USD

0.13 Price
-2.990% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872

Its total value locked in surged from around $2bn in late February to a high of $5.25bn in early May, according to DeFi Llama.

However, it was not able to sustain this for much longer after this point. Its TVL plummeted over the following months and the price of its token followed, despite being listed on Binance and a promotional staking event.

MDX crashed throughout the rest of 2021 and closed the year at $0.37. Similarly, its TVL fell to roughly $800m in December.

It continued this bearish trend into 2022 and recently stooped to its all-time low of $0.05 on 28 September.

However, MDX has started to recover following the announcement of a perpetual trading feature on the DEX. Investors who pay for this feature with MDX receive a 10% reduction in fees.

As of 14 October, MDX was trading at $0.22, up a staggering 251% over the past seven days.

Mdex price prediction

At the time of writing, there are some MDX price predictions that expected the cryptocurrency to have continued this rally.

CoinCodex said there was bullish sentiment with 23 out of 27 technical indicators displaying “buy” signals. Its mdex price prediction for 2022 suggested it could have climbed by 82% to $0.35 on 13 November.

A gradual rise was expected from longer term mdex crypto price predictions as well. DigitalCoinPrice said it could have averaged $0.20 this year and $0.50 in 2025. Its mdex price prediction for 2030 said it could have achieved $1.07.

While TechNewsLeader suggested it could have achieved a maximum price of $0.18 in a year’s time. Its mdex price prediction for 2025 suggested the cryptocurrency could have gone on to $0.40 that and could have then climbed to $2.34 by 2030.

Similarly, PricePrediction outlined MDX could have achieved an average price of $0.082 this year and $0.24 for 2025. By the beginning of the next decade, it anticipated that MDX could have reached $1.62.

When considering a mdex coin price prediction, it’s important to keep in mind that cryptocurrency markets remain extremely volatile, making it difficult to accurately predict what a coin or token’s price will be in a few hours, and even harder to give long-term estimates. As such, analysts and algorithm-based forecasters can and do get their predictions wrong.

If you are considering investing in cryptocurrency tokens, we recommend that you always do your own research. Look at the latest market trends, news, technical and fundamental analysis, and expert opinion before making any investment decision. Keep in mind that past performance is no guarantee of future returns. And never trade with money that you cannot afford to lose.

FAQs

Is mdex a good investment?

Mdex is a decentralised exchange that is bringing low transaction costs and high liquidity through its dual-chain model. But its native MDX token has suffered since its all-time high in February 2021.

In volatile cryptocurrency markets, it is important to do your own research on a coin or token to determine if it is a good fit for your investment portfolio. Whether the mdex token is a suitable investment for you depends on your risk tolerance and how much you intend to invest, among other factors. Keep in mind that past performance is no guarantee of future returns. And never invest money that you cannot afford to lose.

Will mdex go up or down?

As of 14 October, there were some bullish price predictions. TechNewsLeader and DigitalCoinPrice expected an upward climb, but none have forecasted new price records for the foreseeable future.

In volatile cryptocurrency markets, it is important to do your own research on a coin or token to determine if it is a good fit for your investment portfolio. Whether MDX is a suitable investment for you depends on your risk tolerance and how much you intend to invest, among other factors. Keep in mind that past performance is no guarantee of future returns. And never invest money that you cannot afford to lose.

Should I invest in mdex?

While as of 14 October, there has been a marked turnaround in the value of MXD, it shouldn’t be forgotten that past performance is no guarantee of future returns. 

Whether you should invest in MDX is a question that you will have to answer for yourself. Before you do so, however, you will need to conduct your own research and never invest more money than you can afford to lose because prices can go down as well as up.

Markets in this article

BNB/USD
Binance Coin / USD
599.80 USD
-3.58 -0.600%
ETH/USD
Ethereum / USD
3489.46 USD
-37.52 -1.060%

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