Phantom (FTM) price has been consolidating for some time and may continue to do so. This is because the altcoin has not shown a strong directional bias for several weeks.
However, on-chain indicators are currently showing buy signals, which could help FTM break out of the consolidation.
Buy Singlas Pop Up for Fantom
Fantom’s price trading above $0.63 is supported by the Moving Average Convergence Divergence (MACD), which is a good sign that the altcoin is safe from diving anymore. This technical analysis tool measures the relationship between two moving averages of an asset’s price. This provides insight into momentum and potential buy or sell signals.
At the moment of recovery, the indicator line (blue) crosses the signal line (red), confirming a bullish crossover. This is the expected result as this line gets closer little by little. If this happens, the price of Fantom may increase.
Fantom also shows the difference in price Daily Active Address (DAA) indicator. This can be viewed as a buy signal and suggests an ideal buying zone.
This indicator is used in cryptocurrency analysis to evaluate the relationship between the price of an asset and the number of active addresses trading on the network. This indicates a potential mismatch between market value and network usage trends.
Sell signals can be observed whenever asset prices rise and participation decreases. Conversely, when participation increases and the price falls, a buy signal occurs, such as is currently the case with FTM. If investors choose to make the most of this opportunity and stock up on FTM supply, a recovery could occur soon.
FTM Price Prediction: Rebound
At $0.67 at the time of writing, Fantom’s price remains above the key support level of $0.63. This support has been tested several times this year and has remained unbroken since early March.
The same goes for resistance blocks at $0.79 and $0.88. This block has been tested as support and resistance and is usually difficult to break through or below.
Even if FTM rallies in the next few trading sessions, it will likely stop its advance at the lower limit of the resistance block at $0.79. From here, it is unclear whether it will breach $0.80 or fail.
Read More: Phantom (FTM) Price Prediction for 2024/2025/2030
However, if the $0.63 support line is broken, Phantom’s price could see a significant downside. A drop below $0.55 could invalidate the bullish argument and cause FTM to record further losses.
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