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Fantom is showing strong momentum with recent bullish metrics, suggesting the potential for a significant market breakout.
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With a remarkable 23.13% surge, Fantom’s price trajectory is increasingly influenced by its expanding user base and on-chain metrics.
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According to COINOTAG, “Network growth and adoption metrics are indicative of a foundational shift for Fantom’s market positioning.”
Fantom (FTM) shows substantial growth potential, driven by rising network adoption and bullish market signals, suggesting it could lead a broader crypto rally.
Fantom chart analysis: price movement, key levels, and targets
Fantom’s technical chart is increasingly bullish, having recently broken through the $1.00 barrier, which is now acting as a solid support level. The immediate resistance is identified at $1.14, a critical psychological threshold for traders.
If the current bullish momentum persists, Fantom could approach the $1.50 resistance mark. A successful breakout above this price could indicate a long-term rally is in the making. However, market participants should remain vigilant, as a retracement could occur, especially if the price approaches the $0.84 support level, which corresponds with a long-standing ascending trendline.
Source: TradingView
The network growth indicators provide strong evidence of increasing user interest. Over the past week, new addresses on the Fantom network surged by 73.68%, while zero-balance accounts have increased by 55.47%. These numbers demonstrate a solid influx of users who are joining the Fantom ecosystem.
Furthermore, the rising activity levels are reflective of growing confidence in the FTM token, which will likely bolster its price in the aftermath of this positive adoption trend.
Source: IntoTheBlock
On-chain signals: bullish or cautious?
The on-chain signals for FTM indicate a predominantly positive sentiment within the market. The net network growth has recorded a +0.54% increase, suggesting ongoing expansion of the user base. However, it’s worth noting a slight dip in the “In the Money” metric by -1.23%, which may point to some mild profit-taking behavior amongst investors.
Interestingly, large transaction volumes have spiked by 0.50%, signaling that institutional investments and significant trades remain supportive of the ongoing bullish trend. This indicates a mixed sentiment approach in the short term, suggesting that while caution exists, the overall outlook for Fantom remains bright.
Source: IntoTheBlock
FTM technical indicators: volatility and momentum
The technical indicators for Fantom suggest a rise in both volatility and momentum. The Stochastic RSI readings of 3.71 and 3.29 point towards an oversold situation, potentially paving the way for further gains. Furthermore, FTM is currently situated close to the upper Bollinger Band at $1.22, indicating strong buying pressure, with the lower band providing support at $0.98.
Breaking through the $1.14 resistance level is crucial for Fantom to achieve higher targets, including the important $1.50 resistance.
Source: TradingView
The long/short ratio for FTM provides insights into trader sentiment, with 52.82% of traders positioned short against 47.18% remaining long. This slight imbalance in trader sentiment suggests that while many are hedging against potential price declines, a substantial portion still expects further price increases.
Source: Coinglass
In conclusion, Fantom appears to be on the verge of leading the next market rally. Given its strong price momentum, growing network adoption, and a combination of bullish signals, FTM is well-positioned for further growth, contingent upon breaching key resistance levels.
