According to data from crypto.news, Synthetix (SNX) was trading at $0.66, down 9.5% over the past week and nearly 70% below its year-to-date peak.
The ongoing crisis surrounding its sUSD stablecoin remains the primary driver of SNX’s downtrend. The token has struggled to maintain its dollar peg since changes to its issuance and collateral mechanism were introduced under an improvement proposal in April 2025.
Following the update, sUSD’s price dropped to $0.73 before recovering to $0.97 over the next two months. However, the stability was short-lived, with the stablecoin plunging again to $0.841 in July. As of press time, sUSD was trading at $0.987, still shy of its intended $1 peg.
This persistent depegging highlights a critical structural weakness in the protocol, which continues to undermine investor sentiment and confidence in the broader Synthetix ecosystem.
On the derivatives side, CoinGlass data shows that SNX’s open interest fell by 1% to $19.6 million, while the long/short ratio slipped below 1, signaling that more traders are positioning bearishly in the near term.
SNX Price Analysis
On the 4-hour chart, SNX has been consolidating within a descending parallel channel over the past week. This pattern—characterized by lower highs and lower lows—is widely viewed as a strong indicator of continued bearish momentum.
Adding the Moving Average Convergence Divergence (MACD) indicator to the analysis reinforces the bearish outlook, as the MACD has also turned downward—signaling weakening momentum.
Meanwhile, the Relative Strength Index (RSI) sits at 45, placing it in the neutral-to-weak zone. This further supports the view that SNX may continue drifting lower from current levels.
Based on these signals, SNX is likely to test the $0.60 support zone, representing about a 10% downside from its present price. A decisive break below this level could expose the token to additional losses, with a potential retest of the August low at $0.54.
On the other hand, a breakout above the upper boundary of the descending channel would invalidate the bearish setup and could pave the way for a short-term bullish reversal.
