Conflux Surges 49.35% to $0.2253 on AI Advancements and China Backing

Conflux ($CFX) has experienced a significant surge, with its price increasing by 49.35% in a single day, reaching $0.2253. This remarkable growth is driven by several key factors, including advancements in artificial intelligence, enhanced cross-chain functionality, and strong backing from China. The token now boasts a market cap of $1.15 billion, reflecting the growing confidence in its potential.

Community sentiment surrounding Conflux is overwhelmingly positive, with 80% of participants expressing a bullish outlook. This optimism is supported by the token's recent breakout from a consolidation zone, where prices had been held between $0.12 and $0.15 for several weeks. The rally is not merely speculative but is underpinned by strategic developments and technical innovations that solidify Conflux's unique position in the blockchain space.

One of Conflux's strongest assets is its technical design, which features a Tree Graph consensus mechanism. This mechanism processes blocks and transactions in parallel, delivering between 300 and 6,000 transactions per second (TPS) without compromising decentralization. This low-latency, high-throughput structure allows Conflux to outperform many Layer-1 blockchains that struggle with congestion and high fees.

The upcoming Conflux 3.0 upgrade, scheduled for August, is expected to push the network's capacity to around 15,000 TPS. This upgrade will also introduce native on-chain AI agent invocation, elevating Conflux into a new category of intelligent blockchains. Additionally, the upgrade will enhance compatibility with the Ethereum Virtual Machine, making it easier for DeFi applications to migrate and interoperate seamlessly. These enhancements support real-world asset tokenization and cross-border trade, positioning Conflux as a leader in the blockchain industry.

As the only public Layer-1 blockchain officially permitted to operate in China, Conflux has the opportunity to tap into a vast and often inaccessible market. A recent announcement on the Shanghai government’s website revealed a collaboration with AnchorX and Shenzhen-listed Eastcompeace Technology to issue an offshore yuan stablecoin named AxCNH. This stablecoin is intended to streamline cross-border payments and asset transactions among Belt and Road Initiative countries, aligning with China’s growing interest in expanding its financial infrastructure across its partners.

Market observers and analysts believe that with these performance boosts and strategic moves, Conflux could extend its momentum. According to analysts' forecasts, Conflux could reach $0.30 in the short term and potentially even higher in the future. The current setup shows strength, with the market catching its breath after a big run, but all signs, from price action to order flow and positioning, suggest that bulls are still in control.