The cryptocurrency market is currently experiencing a wave of price corrections, yet Fantom (FTM) is distinguishing itself with a remarkable price increase of over 10%. This impressive surge has propelled FTM to trade at approximately $1.05. Alongside this price uptick, there has been a surge in investor and trader activity, contributing to a 70% rise in trading volume within the same 24-hour period.
Technical Analysis and Future Prospects for Fantom (FTM)
FTM’s recent price movement has significantly influenced the market sentiment surrounding this altcoin. According to in-depth technical analysis, FTM is currently contending with a robust resistance level at $1.10, which it has struggled to surpass. This marks the third consecutive day of attempts by the altcoin to break through this barrier.
The resistance level is further complicated by the formation of a bullish inverted head and shoulders pattern, with the resistance acting as a critical neckline. Historical price momentum suggests that if FTM can breach this neckline and close a daily candle above $1.10, it has the potential to surge by 40%, reaching $1.65, or possibly higher in the days ahead if current sentiment persists.
Adding to the positive outlook, FTM is trading above the 200 Exponential Moving Average (EMA) on the daily chart, indicating an ongoing uptrend. The Relative Strength Index (RSI) for FTM also indicates that there is room for further upward movement, as it remains below 70, suggesting that it has not yet entered the overbought territory.
Growing Confidence Among Whales and Traders in Fantom (FTM)
Beyond technical indicators, on-chain metrics bolster the bullish perspective, demonstrating strong confidence among traders and investors in the token. Coinglass, a leading on-chain analytics firm, reports that FTM’s spot inflow/outflow data indicates significant accumulation by whales and investors over the past three days.
The data reveals a negative net flow for FTM during this timeframe, highlighting considerable withdrawals by whales from exchanges. Despite this, traders continue to express strong interest in the altcoin, as evidenced by a 15% increase in open interest over the past 24 hours. This rise reflects growing confidence and interest in FTM, even amid market volatility.
In conclusion, Fantom (FTM) is demonstrating resilience and potential for growth in a market characterized by price corrections. With technical indicators and on-chain metrics aligning to suggest further potential upside, FTM remains a focal point for both traders and investors seeking opportunities in the evolving cryptocurrency landscape.
