Deep Dive
1. Regulatory Tailwinds (Mixed Impact)
Overview: The SEC’s Project Crypto, launched in July 2025, aims to modernize crypto regulations, favoring chains like Chia that prioritize compliance. Chia’s CEO Gene Hoffman has praised the SEC’s “open-minded” stance, contrasting it with past adversarial policies.
What this means: Regulatory clarity could attract institutional capital to Chia’s eco-friendly Proof-of-Space-and-Time model. However, the broader market remains cautious, with Bitcoin dominance at 58.24% signaling a risk-off tilt.
What to look out for: Progress on tokenized securities frameworks, a key focus of Chia’s recent Permuto X Spaces discussion.
2. Technical Rebound (Bullish)
Overview: Chia’s price ($8.93) sits above its 7-day SMA ($8.70) with a bullish MACD crossover (histogram: +0.0326). The RSI-14 (44.31) suggests room for upside before overbought conditions.
What this means: Short-term traders may interpret this as a breakout signal from the $8.07–$11.58 range. However, resistance looms at the 30-day SMA ($9.29), which has capped rallies since August 2025.
Key level to watch: A sustained close above $9.29 could target the 23.6% Fibonacci retracement at $10.75.
Overview: Chia’s Hong Kong meetup (19 August 2025) emphasized its tools for compliant asset tokenization, including dividend stock splitting via Permuto Capital. Attendees received Proof-of-Attendance NFTs, reflecting grassroots engagement.
What this means: While not directly price-moving, these efforts align with growing demand for blockchain solutions in traditional finance. Volume remains thin ($4.63M), however, limiting upside potential.
Conclusion
Chia’s flat 24h performance masks a constructive technical setup and regulatory tailwinds. The combination of MACD momentum and Project Crypto’s focus on compliant chains positions XCH for volatility, though low liquidity ($128M market cap) amplifies risk.
Key watch: Can Chia break above the 30-day SMA ($9.29) to confirm a bullish reversal? Monitor SEC policy updates and tokenized asset adoption metrics.