FTM Targets $0.46 Amid 45% Surge, Faces Downside Risk below $0.40. MACD Signals Upward Momentum for Potential $0.65 Move.
Analyst Ali Martinez reports that Fantom (FTM) is encountering resistance at $0.46. Breaking the psychological barrier at $0.40 has been a significant achievement for FTM, leading to a notable 22.62% increase in the past month.
Fantom’s Path to $0.65: Breaking Resistance and Accumulation Strategy
Analyst Ali Martinez sees potential for Fantom (FTM) to turn bullish and reach $0.65, contingent on breaking the $0.46 resistance. This level gained significance as 1,430 addresses amassed 657.60 million tokens, making it a crucial zone.
#Fantom has hit a significant resistance zone. Over 1,430 addresses hold 657.60 million $FTM accumulated between $0.46 and $0.46.
For a bullish leap, #FTM needs to break through this area decisively. If it succeeds, we could see a 45% rally, aiming for $0.65. pic.twitter.com/dIdJRJaZni
— Ali (@ali_charts) December 15, 2023
To pave the way for a breakthrough, buyers must intensify accumulation efforts. A successful surge of 45% to $0.65 would position FTM among the top-performing Layer-one (L1) cryptocurrencies, joining the ranks of Cardano (ADA) and Avalanche (AVAX).
Prior to encountering resistance at $0.46, FTM bulls neutralized bearish pressure on December 13 when the price hovered around $0.36. Despite intermittent drawdowns, the token exhibited resilience, defying sellers’ intentions and experiencing exponential growth.
However, failure to breach $0.46 may lead to a potential retreat from the $0.40 region. A strong support at $0.39 could mitigate further downward movement, acting as a safeguard for the token’s price action.
Indicators and Momentum Signals for Fantom’s Future
The Relative Strength Index (RSI) reveals potential decline signals for Fantom (FTM). Previously, the RSI peaked at 67.22 on December 15 but has since dipped to 58.14, indicating weakening buying momentum. If this trend persists, the likelihood of FTM dropping below $0.40 becomes a real concern, emphasizing the importance of monitoring sentiment shifts.
Traders should be vigilant for any attempts by bulls to surpass the accumulated 657.60 million tokens, as this could challenge the $0.46 resistance. Successful overtures might propel FTM towards the $0.65 mark.
FTM/USD Chart (Source: TradingView)
Analyzing the Moving Average Convergence Divergence (MACD), the positive reading suggests that any potential fall in the Fantom native token may be temporary. The 12-day EMA (blue) diverging above the 26-day EMA (orange) indicates increasing upward momentum, discouraging short positions.
Despite earlier criticisms of the Fantom ecosystem for vulnerabilities, FTM has regained traction, thanks to the Sonic testnet. This development allows builders to launch decentralized applications (dApps) on the network, rekindling trader interest in FTM.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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