Surprisingly, Immutable X is gaining in an unfavorable market. Ecosystem developments from NFT on Ether's Layer 2 scalability protocols have certainly helped its growth.
Unchangeable within one week X
On March 7, L2 Protocol announced a $200 million Series C funding round, which gives Immutable X an overall valuation of $2.5 billion. Since then, its token IMX has made its investors even happier.
The arrival of IMX coincided with the beginning of a rally in the cryptocurrency market, but only later recovered. Well, shortly after hitting an all-time high of $9.30, the cryptocurrency began to fall. By March 6, it had lost nearly 87.68% of its value.
Invariable X Price Behavior | Source: TradingView – AMBCrypto
The impact on its investors has been quite severe, as most of them entered the market when the price was well above the recent bottom of $1.15.
As a result, 99.5% of the total 17.4k investors on the chain are in the red. This number has fallen as IMX witnessed a 58.3% rally in one week. At the time of writing, trading at $1.80, the rise in token value managed to save 2k (4%) of investors from losses.
Immutable X Investor Losses | Source: Coinmetrics – AMBCrypto
However, 88% of Immutable X investors continue to suffer.
This is because cottage coins remain vulnerable to price volatility. IMX's volatility did take a dip around March 6. However, it rallied sharply the next day.
Immutable X Volatility | Source: Coinmetrics – AMBCrypto
In addition, Immutable X is highly correlated with Bitcoin. Since Kingcoin itself is in a constant state of flux, Immutable X may also find itself struggling for stability.
Invariant X Correlation with Bitcoin | Source: Coinmetrics – AMBCrypto