FIL Price Analysis: Token has gained over 100% in the past few weeks

The token is trading at the demand zone on the daily time frame.
FIL token has shown bullish actions in the previous sessions.

On December 16th, 2022, the FIL token reached an all-time low of $2.419. After reaching, the token has shown strong signs of bullish momentum, gaining more than 100% in the last few weeks.

FIL on the daily time frame

Bulls are driving up the price of the token. According to the daily chart, FIL token is currently trading at $4.904, up 3.58% in the last 24 hours. It is trading between its two key Moving Averages, the 50 EMA and the 200 EMA. (Red line is 50 EMA and the blue line is 200 EMA). In the daily time frame, the token has crossed the 50 EMA and has sustained above it. The token has retraced to its demand zone and is currently facing resistance at $5.061.

Relative Strength Index: The asset’s RSI curve is currently trading at 70.39, indicating that it is in the overbought zone. The rise in token value in the past few days has increased the value of the RSI curve. The RSI curve has crossed over the 14 SMA, indicating that the market is bullish. It has to be seen if the token will break through the resistance level or be declined.

Analyst view & Expectations

The token has retraced to its demand zone but has yet to break above it and sustain above it on a daily time frame. Investors are advised not to buy right now and instead to wait for the token to break above the resistance level and sustain to gain more confirmation on the trend’s direction. Intraday traders, on the other hand, have a good opportunity to go long if the token breaks above the resistance level or short if the token is rejected in the demand zone and forms a strong bearish candle.

According to our current Filecoin (FIL) price projection, the value of Filecoin (FIL) is expected to climb by 1.90% in the next few days, reaching $ 5.00. Our technical indicators indicate that the current sentiment is Neutral, with the Fear & Greed Index reading 53. (Neutral). Over the previous 30 days, Filecoin had 17/30 (57%) green days and 17.20% price volatility. According to our Filecoin forecast, it is now a good time to buy Filecoin once it has crossed over the resistance level.

Technical Levels

Major support: $4.124

Major resistance: $5.061 & $5.850

Conclusion

The token has gained traction in recent days, with bulls driving up the token’s price. Investors who want to get in early can buy now, while those who want to play it safe can wait for the token to break and sustain above the resistance level.

Disclaimer: The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing