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Fantom (FTM) is positioning itself for a breakout as bullish indicators point toward a potential rise to $1.40 amidst growing market optimism.
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The altcoin has demonstrated a significant 5.01% increase in the last 24 hours, signaling a strong upward trend fueled by technical formations and robust on-chain metrics.
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According to COINOTAG analysis, “The cup-and-handle pattern suggests that traders are anticipating higher prices, creating a bullish sentiment around FTM.”
Fantom (FTM) is set for potential gains as technical patterns and strong metrics suggest a rise to $1.40, reflecting bullish market sentiment.
Technical analysis: FTM targets $1.40 resistance
FTM’s weekly chart highlights the significance of the cup-and-handle breakout. This pattern often marks the start of bullish trends, and FTM’s price is no exception. As of now, the $1.40 resistance represents a critical hurdle, acting as both a psychological barrier and a key technical level in its upward trajectory.
Furthermore, the consistent formation of higher lows and increasing buying volume strengthens the bullish case for FTM. If this momentum continues, surpassing $1.40 could unlock a new phase of aggressive upside for the token.
Source: TradingView
Technical indicators suggest sustained strength
Recent technical indicators have validated FTM’s bullish outlook. The MACD has shown a strong bullish crossover, with the MACD line currently at 0.1546, significantly above the signal line at 0.0769. This indicates continued upward momentum.
Furthermore, the Average Directional Index (ADX) stands at 26.39, confirming a strengthening trend and reinforcing the market’s bullish sentiment. These indicators collectively suggest that FTM has the momentum to test and potentially surpass its immediate resistance levels.
Source: TradingView
FTM on-chain signals underline market confidence
On-chain metrics further support FTM’s rally. The net network growth has increased by 0.45%, reflecting heightened user engagement. Additionally, large transactions have seen a jump of 0.62%, indicating a growing interest from institutional investors.
While the “In the Money” metric shows a minor bearish signal at -0.37%, the concentration metric at -0.10% suggests that large holders are maintaining their positions, further supporting the ongoing uptrend. These indicators collectively underline strong market confidence regarding FTM’s future performance.
Open Interest reinforces the bullish sentiment
Open Interest (OI) in FTM has surged by 4.75%, bringing the total to $377.65M. This increase points to growing confidence among traders and signals heightened speculative interest in FTM’s ability to push past its immediate resistance levels.
Thus, the rise in OI further solidifies the case for FTM’s bullish outlook in the near term.
Source: Coinglass
Conclusion
Fantom’s strong technical structure, robust on-chain metrics, and growing OI strongly suggest it will break the $1.40 resistance. If the current momentum persists, Fantom could not only surpass this level but also set the stage for a sustained rally in the altcoin market.
