Fantom (FTM) price has almost fully recovered from the most recent correction that started in late October 2021, the coin price has also provided a bullish breakout from the cup and handle pattern, with the line neckline at $3.17. Maintaining this level, the FTM price will rise to retest new levels.
Main technical points:
- FTM price has increased by about 50% from last week
- Daily RSI chart showing a bearish divergence.
- FTM coin’s intraday trading volume is $1.6 billion, showing an increase of 0.5.4%
The source- Tradingview
Recently when we covered an article about Fantom Coincidentally, the rally in FTM/USD technical charts revealed a cup and handle pattern. For the past few days, the price has been at the threshold of the $3.17 neckline, struggling to break above this resistance.
However, on January 16, the price finally broke out of this overhead resistance and, for the first time, provided a daily candle that closed above the $3.17 mark.
The FTM bulls have regained the key EMA levels (20, 50, 100 and 200), indicating an uptrend in its daily chart. Cryptocurrency traders can use these EMAs as support during bearish pullbacks.
The daily Relative Strength Index (62) moves above the neutral line and the 20-SMA indicating bullish sentiment. However, the FTM price chart also shows a bearish divergence, casting some doubt on this rally.
Fantom Coin price is currently in retest phase
The source- Tradingview
For today, FTM price is trying to sustain above its new support zone of $3.12-$3.17. If the price shows enough sustainability on this retest, the price will start to rise again and following the trend-based Fibonacci extensions, the next supply zones in this chart are $3.75 and $4. .47-$4.5.
The average directional movement index (23) dropped significantly during the bearish pullback to form the handle portion of a cup and handle pattern. The ADX slope will rebound with price action after a breakdown of the uptrend of $3.17.
- Resistance levels- $3.5 and $4.5
- Support level- $3.12 and $2.8