The Nervos Network token saw a significant surge on Friday, Sept. 13, reaching a high of $0.018, its highest level since June 7. Nervos Network (CKB), a layer-2 network, experienced this spike as investors anticipated more purchases by South Korean traders following its listing on Upbit. These traders can now buy the token using U.S. dollars, South Korean won, or Tether (USDT).

Data shows that South Korean traders were among the most active, driving the price up. The CKB/KRW trading pair saw a 24-hour volume of over $170 million on Upbit, followed by Binance, which handled over $122 million.

Cryptocurrency prices often see sharp increases after being listed on major exchanges like Binance, Coinbase, and OKX. However, these gains tend to be short-lived, often leading to a significant pullback once the initial hype subsides. For instance, Alpaca jumped by over 150% after being listed on WhiteBit in August but has since dropped by over 44% from its peak.

Nervos Network is a proof-of-work layer-2 project that aims to enhance Bitcoin by incorporating programmability and scalability. It achieves this using the RGB++ protocol. Similar to Stacks, Nervos aims to do for Bitcoin what other layer-2 networks like Arbitrum, Polygon, and Base did for the Ethereum (ETH) network. Some of its ecosystem dApps include JoyID, a passwordless wallet, Huehub, the first orderbook exchange, and Omiga, an inscription protocol.

On the daily chart, the CKB token formed a “God candle,” soaring to a high of $0.018. This rebound occurred after the token formed a falling wedge chart pattern, a popular bullish signal. It also created an inverse head and shoulders chart pattern.

In most cases, these “God candles”—sudden bullish spikes—tend to be short-lived. There is a likelihood that the Nervos Network will retreat and retest the psychological level at $0.01, a drop of nearly 40% from the current level.

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