DeXe falls to $17.19, but bulls have reasons to stay

On Wednesday, the 3rd of June, DeXe [DEXE] rallied almost 36% in a matter of hours. Driven by a massive surge in short liquidations, the crypto AI token's price surge was accompanied by spot accumulation. The overleveraged shorts, predictably, did not see it coming. Yet, this buying was not enough to fend off a retracement of these gains.

By the 4th of June, 27 hours after the initial spike, DEXE had fallen from $24.49 to $17.19. This kind of volatility suggested that liquidation sweeps were the key driver of the price move. Overleveraged derivatives traders on both the long and short sides were taken out, in a rare moment of cross-aisle agreement on the value of staying solvent.

Interestingly, the altcoin has bounced nearly 15% from Thursday's low around $17. These gains, coming after the volatility storm earlier this week, suggested that bulls might still have the upper hand. Meanwhile, Bitcoin [BTC] has relinquished control of the $60k level. This will further destabilize the already shattered confidence in most altcoins.

Will DeXe fall in line with the wider market or continue its remarkable performance?

The October 2025 crash took DEXE to a new swing low. On the chart above, the price reached a low of $0.136, but it was revealed back then that thin liquidity on Binance led to severe, oversized price drops on certain altcoin pairs on the exchange. A useful reminder that "price discovery" occasionally just means a few wallets moved first.

The price action in February 2026 saw a continuation of the downtrend, but a breach of the $4.19 swing high shifted the swing structure bullishly. DEXE has not looked back since then and even managed to beat the October highs at $13.63.

While the higher timeframe trend remained bullish, the past few days saw heavy volatility and a potential range formation. At the time of writing, the mid-point of this range, at $20, has been flipped to resistance. It appeared likely that the range low at $17.18 would be tested as support in the coming days.

Traders can look to buy this retest but should also remember that the higher timeframe uptrend can see a deep, healthy pullback in the coming weeks. Therefore, a drop below the range lows can be used to flip the short-term bias bearishly.