As of the latest data, Fantom (FTM) was valued at $1.28, showing a 5.01% surge in the past 24 hours, sparking optimism among investors. This surge corresponds with the formation of a cup-and-handle pattern on the weekly chart, often indicating an upward trajectory.
The current price movement positions FTM favorably to challenge the crucial $1.40 resistance level. Achieving this breakthrough will require sustained buying activity and favorable market conditions, drawing close attention from traders anticipating the next market move.
Price Analysis Points Towards $1.40 Resistance
Insights from FTM’s weekly chart emphasize the significance of the cup-and-handle pattern breakout, commonly signaling the start of bullish trends. The $1.40 resistance level serves as a prominent psychological and technical barrier.
Moreover, the consistent formation of higher lows along with an increase in buying volume bolsters the bullish scenario for FTM. Overcoming the $1.40 threshold could trigger a notable uptrend for the token.
Positive Technical Indicators Reinforce Bullish Outlook
Technical indicators support the positive sentiment surrounding FTM. Notably, the MACD displayed a strong bullish crossover, with the MACD line positioned at 0.1546, significantly above the signal line at 0.0769, indicating ongoing upward momentum.
Additionally, the Average Directional Index (ADX) reading of 26.39 confirms the strengthening trend, further endorsing the prevailing bullish sentiment in the market. These indicators collectively suggest FTM is well-equipped to challenge and potentially surpass its immediate resistance levels.
On-Chain Data Highlights Market Confidence
On-chain metrics contribute to the rally witnessed in FTM. An uptick of 0.45% in net network growth indicates heightened user activity, while a 0.62% increase in large transactions signifies growing interest from institutional players.
Although the “In the Money” metric shows a minor negative signal at -0.37%, the concentration metric at -0.10% suggests that major holders are maintaining their positions, further reinforcing the upward trend. These metrics collectively showcase robust market confidence.
Increasing Open Interest Strengthens Bullish Sentiment
Open Interest (OI) in FTM has surged by 4.75%, reaching a total of $377.65 million. This notable rise underscores the mounting confidence among traders and signals a heightened speculative interest in FTM’s potential to surpass its immediate resistance level.
Hence, the surge in OI solidifies the bullish stance surrounding FTM in the short term.
Given Fantom’s strong technical foundation, promising on-chain metrics, and rising OI, the indications strongly suggest a potential breakthrough of the $1.40 resistance level. Should the current momentum persist, Fantom might not only breach this barrier but also pave the way for a sustained uptrend across the altcoin market.