Fantom [FTM] has broken free from its downward trend, currently trading at $0.6721, marking a 3.15% gain at the moment.
This upward momentum, paired with a remarkable 56.79% surge in trading volume over the past 24 hours, has certainly caught the attention of the cryptocurrency market.
With traders keeping a close watch on the potential for new all-time highs, the burning question persists – can Fantom sustain this surge and leverage its breakout effectively?
Significant moving averages and critical levels to monitor
The technical indicators for FTM have painted a promising picture of its recent price action. At present, the RSI stands at 60.35, indicating an escalation in buying pressure.
Although it is yet to breach the overbought territory (above 70), there remains room for further upward movement, as suggested by the technical readings.
Furthermore, the MACD supports the growing bullish sentiment as the MACD line, currently at 0.0405, has crossed above the signal line at 0.0321.
This bullish crossover implies an uptick in the momentum towards higher prices, reinforcing the potential for increased gains.
Collectively, these indicators hint towards a potential uptrend for FTM in the short term, subject to momentum sustainability.
Decoding FTM on-chain metrics
The on-chain metrics for FTM are projecting strength. The net network growth has seen a 0.20% increase, pointing towards steady adoption, while concentration metrics indicate that major holders, or whales, are holding onto their positions.
Moreover, significant transactions have risen by 0.24%, portraying rising interest from institutional investors.
Although the “In the Money” metrics remain neutral, indicating that not all investors are currently profiting, the overall on-chain data suggests a robust position for FTM’s future growth.
Trading volume and Open Interest: Drivers of the ongoing rally?
The trading volume for FTM has surged by 42.25% in the latest 24-hour period, reaching $804.65 million, a substantial indicator of market enthusiasm, according to Coinglass.
Simultaneously, the Open Interest in futures contracts has climbed by 7.57%, showcasing increasing trader confidence. This growing interest signifies the market’s belief that FTM has further room for expansion.
Anticipating new peaks for FTM
With the current technical breakout, favorable on-chain metrics, and escalating trading volume, Fantom seems to be well-equipped for additional gains.
Consequently, FTM stands on the brink of testing new highs shortly, contingent upon surpassing the crucial resistance level at $0.720 while maintaining robust support levels.