Fantom Price Soars Amid Market Chaos, Signaling Potential Breakout

• Derivatives data for Fantom indicates bullish sentiment with higher short liquidations and a positive long/short ratio.
• The upcoming migration to Sonic could be a major catalyst for Fantom’s price.
• The 200-day EMA is a key resistance level for Fantom to overcome for sustained upward momentum.

Despite the market turmoil, the Bitcoin price has recovered from $53489 support this week. This has positively influenced the entire crypto market.

As a result, Fantom (FTM) crypto seems set for a colossal surge ahead as it gears up to crack the resistance level. It is poised to skyrocket from the current support zone.

Over the last week, the Fantom price has surprised investors with its northward momentum. It has witnessed significant momentum in the previous 48 hours.

The Impact of Derivatives Data on the Fantom Price

At press time, the Fantom price was trading at $0.4920 with a market capitalization of over $1.37 Billion. It recorded a monthly gain of 51.06%, indicating the likelihood of recovery.

The Fantom token has witnessed higher short liquidations data than long data. The long/short ratio of 1.0008 has showcased bull dominance.

In the 24-hour derivatives market, the longs liquidated $240.01K. At the same time, the shorts were large at $627.50K. Thus, bullishness has been prevailing on the price chart.

Similarly, the open interest (OI) has inclined, reaching $172.90 Million and perpetual volume inflow amounting to $539.83 Million.

Can Fantom Head For a Recovery in September?

Fantom crypto registered a yearly high in the first quarter of 2024, above the $1 mark, precisely at $1.22. In the northward movement from October 2023 to March 2024, the FTM price experienced a remarkable surge of nearly 600%.

However, the bullish momentum waned. This led to a bearish trend that placed FTM in a falling wedge pattern.

Over the next five months, FTM’s price dropped by almost 75%. On August 5th, the price rebounded from the lower boundary of the wedge. In the past 38 days, FTM has grown by nearly 90%, with a 25.66% increase this week alone.

This week, the price broke through the 20-day and 50-day EMAs and slightly breached the upper boundary of the wedge. Optimism around the Fantom price has risen, with the 200-day EMA band being the next significant resistance level.

Per the Fantom price analysis, the long-term outlook could shift positively if FTM can sustain above the 200-day EMA band. Moreover, a change of character (ChoCh) might be observed above the $0.550 level.

Additionally, suppose the critical support levels attract bullish interest. If this happens, a breakout from the falling wedge pattern could occur, with resistance levels at $0.62 and $0.77.

However, if bearish dominance persists, the Fantom price could fall below the demand zone. Failure to surpass the 200-day EMA and achieve a successful ChoCh could negate the bullish outlook. It would be accompanied by the potential support levels at $0.40 and $0.30.

Disclaimer

This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.