Fantom [FTM] has recently broken out from its downward trend, currently trading at $0.6721, showing a 3.15% increase at the time of writing.
This sudden rally, paired with a remarkable 56.79% surge in the 24-hour trading volume, has captured the attention of the cryptocurrency market.
With traders eagerly watching for the potential of reaching new all-time highs, the key question emerges: can FTM maintain its upward momentum and capitalize on this breakout?
Significant moving averages and critical levels to monitor
FTM’s technical analysis has painted a positive picture for its recent price action. The Relative Strength Index (RSI) currently stands at 60.35, indicating a rise in buying interest.
While the RSI still has room to climb before entering the overbought zone (above 70), this suggests a likelihood of further upward movement.
Moreover, the Moving Average Convergence Divergence (MACD) also confirms the growing bullish trend. With the MACD line at 0.0405, surpassing the signal line at 0.0321, a bullish cross has emerged, hinting at an intensified upward momentum and reinforcing the potential for price appreciation.
Conclusively, the confluence of these technical indicators indicates a probable continuation in FTM’s upward trajectory in the near future, contingent on the sustainability of the current momentum.
Insights from FTM’s on-chain metrics
FTM’s on-chain data signals strength across various metrics. Network growth has seen a rise of 0.20%, portraying a steady adoption rate, while concentration metrics indicate that major holders, or whales, are holding onto their positions.
Additionally, a surge of 0.24% in large transactions underscores a growing interest from institutional investors.
While the “In the Money” metrics remain neutral, implying that not all investors are presently in profit, the overall on-chain statistics suggest that FTM stands at a robust position for further advancement.
Volume and Open Interest: Drivers of the ongoing rally?
FTM’s trading volume has soared by 42.25% in the last 24 hours, reaching $804.65 million, marking a significant surge in market interest, as per data from Coinglass.
Simultaneously, Open Interest in Futures contracts has climbed by 7.57%, showcasing a growing confidence among traders. This signals the market’s belief in FTM’s potential for expansion.
Can FTM breach into new record territory?
With FTM’s positive technical breakout, strong on-chain metrics, and escalating trading volume, it appears well-equipped for further upward movements.
Hence, FTM is poised to challenge new highs shortly, contingent on breaking through the critical resistance level at $0.720 while upholding sturdy support levels.