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Personally i would say the X360 is not "maxed". As others have said you can never max a system graphically. I think it is closer to its limit than say the ps3 though, not a by a huge amount but by a significant enough amount that by the end of this gen there will be no argument from anyone that the ps3 is a more powerful system (although some would argue we are already there).

@leet gamer, i have a gaming pc and crysis, i have played it standard at very high settings and then also with ultra high mods... i honestly don't see what people are raving about, sure in parts it looks fantastic, there is a lot going on, great detail, lots of foliage, huge draw distances, dx10 effects, but put them all together and as a package i would rate killzone 2 a better looking shooter game all the same, especially an unmodded crysis.