XYO Network is making big moves. On September 16, the DePIN-focused project announced the launch of its first Layer-1 blockchaina chain purpose-built to handle massive amounts of real-world data, something current networks reportedly couldn’t deliver to their standards. Alongside the chain, XYO also rolled out a new utility token called XL1.
A Blockchain Built for Real-World Data
Unlike general-purpose blockchains, the new XYO Layer-1 is designed specifically for data-heavy applications across industries like AI, logistics, and tokenized real-world assets (RWA). The idea is to give enterprises and consumers verifiable, scalable, and efficient solutions for handling large data streams.
To power this ecosystem, XYO introduced XL1, which acts as the native token for gas fees, smart contracts, and rewards. The original XYO token isn’t going away it will remain in use for governance and staking. By staking XYO, users can earn XL1, effectively locking up XYO supply and reducing its circulation, a mechanism aimed at boosting long-term price support.
Rocky Start for XL1, but XYO Gains Momentum
XL1 made its debut on multiple major exchanges including Kraken, KuCoin, Gate.io, MEXC, and CoinDCX. The Token Generation Event (TGE) set a total supply of 38 billion XL1 tokens, with around 5.7 billion circulating initially.
The token launched at $0.0017, quickly spiked to $0.0032 in the first few hours, but then crashed more than 50% within a day as early holders took profits a familiar pattern in crypto.
Interestingly, the original XYO token benefited from the buzz. It gained over 6.5% in 24 hours, pushing its market cap past $151 million at press time.
XYO Price Outlook: A Potential 30% Rally
From a technical standpoint, XYO just flashed some bullish signals.
- The token broke out of a descending trendline that had been in place since mid-July, signaling a shift from bearish to bullish momentum.
- It also flipped the 50-day simple moving average (SMA) at $0.010 into support, a key short-term bullish sign.
- The Aroon indicator shows the Up reading at 100% while the Down sits at just 28.57%, confirming that bullish momentum is firmly in play.
If momentum holds, analysts expect XYO to test $0.011 (the 23.6% Fibonacci retracement level). Breaking above that could open the door for a rally to $0.013 a potential 30% gain from current prices.
That said, if XYO slips back below the 50-day SMA, the bullish setup would likely collapse, putting the token at risk of another downturn.
Final Take
Despite XL1’s rocky debut, the launch of XYO’s Layer-1 blockchain appears to have re-energized its community and market interest. With reduced circulating supply from staking and technical momentum shifting in its favor, XYO could be gearing up for its next leg higher.
