- Fantom could potentially experience a 234% price increase due to a hidden bullish divergence.
- Jayvon Marks predicted that the FTM price could soar to $3, which could trigger a significant uptrend.
Fantom (FTM) has experienced less returns this year than other major altcoins. While altcoins like Solana and Toncoin have surged by over 100%, FTM has only gained 40% since the start of the year.
Recently, FTM has faced downward pressure, falling 5.7% over the past day to a current price of $0.3393. Despite this short-term downturn, the asset has performed strongly over the past week, rising more than 15% and briefly surpassing $0.36 on Sunday, August 11.
A 234% rally is just around the corner
Jayvon Marks, an analyst in the cryptocurrency community, highlighted a promising scenario for FTM.
According to Marks, the Phantom is showing signs of a hidden bullish divergence on the chart, which is often a technical signal associated with a potential price uptrend.
This pattern propose Despite the recent price decline, the fundamental momentum may be heading towards a significant uptrend.
A hidden bullish divergence occurs when the price makes a higher low while the oscillator makes a lower low. This discrepancy between price action and momentum often indicates a persistent bullish sentiment that can lead to significant price increases.
Marks speculates that this setup could see FTM rally up to 234%. Such a rally would not only reverse recent losses but also push the cryptocurrency to new highs, potentially reaching $3.
This bullish outlook has been further reinforced by Fantom’s recent price action, which has shown volatility that could potentially lead to a recovery. Marks noted that similar pullbacks have also heralded significant rallies in the past.
Source: Javon Marks of X
Marks explained in the post:
“Fantom’s recent confirmation of a hidden bullish divergence is consistent with previous patterns that precede major price recoveries, although they are followed by a reversal.”
This pattern suggests a potential surge towards the long-term target of $3.0053, which is a key breakout level for FTM.
Fantom(FTM) Basic Outlook
Although technical analysis suggests a bullish trend, it is important to consider the underlying fundamentals of FTM.
Number of large transactions (Whale Trading), volume, which can be an indicator of smart money movement, has fallen noticeably from more than 20 last week to just six this week.
Source: IntoTheBlock
A decline in whale activity could signal a temporary slump in investor confidence or a consolidation phase ahead of a potential rally.
Additionally, FTM’s open interest, which represents the total number of outstanding derivatives contracts, including unsettled futures, also showed various trends.
Source: Coinglass
Realistic or not, FTM’s market cap in terms of SOL is as follows:
There was a 9.2% decrease Open interestOpen interest volume surged by 47.59%, suggesting that leveraged positions are cooling off.
Such increases may indicate new money entering the market in anticipation of future price increases.