CoinWired Report:
Fantom has formed a golden cross with the 50-day simple moving average (SMA) crossing above the 200-day SMA.
The trading volume has also increased from a yearly high of 3 million to 201 million.
Fantom [FTM]
As of the time of writing, Bitcoin has outperformed most altcoins, rising 20% in the past 30 days, trading at $0.755.
Despite the upward trend and a growth in trading volume of about 140%, FTM has not shown signs of exhaustion.
CoinMarketCap
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The surge in trading volume aligns with an increase in whale activity. According to IntoTheBlock, the trading volume of FTM exceeding $100,000 has increased from 3 million to 201 million in the last 24 hours.
These massive trading volumes are at their highest level in a year, indicating that Fantom whales have become active after the recent rally.
Whales control 73% of Fantom’s supply. Therefore, with the recent surge in trading volume, FTM may experience significant price fluctuations.
Meanwhile, net flows from exchanges show that traders are withdrawing their FTM tokens from exchanges. In the past two days, the net flow from FTM exchanges has mostly been negative, which could alleviate selling pressure.
Negative net flows provide room for FTM to extend gains as it suggests that traders are not keen on booking profits.
Fantom has formed a golden cross
After forming a golden cross on the daily chart, Fantom’s bullish trend shows signs of continuation.
The 50-day simple moving average (SMA) crossing above the 200-day SMA indicates strengthening short-term momentum.
The strength of this golden cross is further reflected in the on-balance volume (OBV) indicator, which has been on an upward trend. This indicates that buying activity is gradually increasing, which is necessary to sustain the rebound.
After forming the golden cross, FTM attempted to extend its gains but encountered resistance again at $0.797. If the price breaks above this level, FTM may rise by 20% to reach the 1.618 Fibonacci level ($0.902).
On the other hand, if buyers are unwilling to enter at the current price and cross-trading fails, FTM may test support at $0.732.
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Fantom’s [FTM] price prediction
2024 – 2025
Data from
Coinglass
indicates that traders are betting on a bullish continuation after the funding rate.
Rising to the highest level in over a week, this indicates that more and more traders are holding long positions on FTM.
This surge suggests positive sentiment surrounding the token as bullish traders are willing to pay higher fees to maintain their long positions.
