Analysts are optimistic about the trajectory of FTM.
Fantom ($FTM) has recently attracted significant attention from investors, as the token briefly fell below $0.6 last Friday but subsequently found support at $0.577 and experienced a rebound for four consecutive days, rising over 11%.
With Bitcoin ($BTC) breaking $70,000 and challenging new highs in the past two days, the overall bullish force in the market seems to be strengthening, and the market sentiment for $FTM has turned bullish as well. Many analysts believe that once it breaks through the key resistance level, $FTM's upward momentum is likely to continue, achieving double-digit gains in the near future.
Image Source: Coingecko $FTM Price Trend
According to CoinGecko data, as of the writing, the price of $FTM is reported at $0.7125.
Prepare for a surge once it breaks 'this level'.
Analysts point out that the $0.577 support level for $FTM is precisely near the 200-day Exponential Moving Average (EMA). If the $0.577 support level remains strong, $FTM is expected to rise about 12% from its current price, challenging the next daily resistance level of $0.796.
Image Source: TradingView $FTM Price Trend
If it can break through and hold the daily resistance level of $0.796, turning it into a support level, $FTM will further challenge a 22% increase, with hopes of retesting the high of $0.965 set on May 20 this year.
Additionally, the Relative Strength Index (RSI) on the daily chart also shows a positive bullish signal, currently at 54, breaking above the neutral level of 50, indicating that buying momentum is gradually strengthening.
According to GIOM data, there are currently about 4,320 addresses that have accumulated approximately 678.91 million FTM tokens, with an average purchase price around $0.588. The purchase range is concentrated between $0.529 and $0.650, making this range an important support level for $FTM currently. If it can maintain this in the future, it will serve as a crucial foundation for FTM's continued rise.
Upside Risks and Market Outlook
According to data from Coinglass, the long-short ratio for $FTM is currently 1.06. This ratio indicates the proportion of bullish (long) to bearish (short) investors in the market. When the ratio is above 1, it means that more investors expect the price to rise.
Image Source: Coinglass $FTM Long-Short Ratio
The long-short ratio of 1.06 reflects a growing bullish sentiment for $FTM, with long investors gradually increasing their holdings across major exchanges. For supporters of Fantom, the short-term upside potential is quite promising.
However, analysts also warn that if $FTM fails to hold the key support level of $0.577, the bullish argument may become invalid at any time, with the next step potentially seeing a double-digit decline and testing the next key support level of $0.474.
[Disclaimer] The market carries risks, and investments should be made with caution. This article does not constitute investment advice, and users should consider whether any opinions, views, or conclusions in this article align with their specific circumstances. Invest at your own risk.
