Filecoin is one of the biggest decentralized storage systems which aims to store “Humanity Most Important” information. It was first described in 2014 as the incentive layer for IPFS. Filecoin is an open source protocol which means the governance of the ecosystem is done by the community. The total supply of the FIL token is 1,961,465,054 with circulating supply of 443,153,154 tokens. Meanwhile, the total supply burned is 5.1% of the total supply.
Filecoin works on the basis of three parties involved which are clients, storage miners and retrieval miners. The Nodes in the network are called retrieval miners which are rewarded fees in FIL. These parties work closely to keep the network running. The network is secured with the help of proof of replication and proof of space time.
Filecoin has a market cap of $1.52 Billion and is ranked 32nd in the cryptoverse. The overall volume of the FIL network has observed a decrease of 7% in the past 24 hours. Volume to market cap ratio of FIL token suggests a consolidated momentum in price.
Will FIL Price See A Rebound Soon?
Filecoin is currently observing a weak downside trend in the weekly time frame. On coming to the daily chart FIL price is seeing a weak consolidated momentum and is trading near $3.34. The upside momentum of FIL token price can see a halt near the value of $5.Meanwhile, the support of the asset price can be observed near $3. FIL price is trading below the 50 and 100 Daily Moving Average.If the price jumps above the DMA then a strong upside trend can be seen in the future.
The RSI of FIL is in an oversold zone near the value of 27. The overall sentiment of the RSI is weakly bearish.
Summary
Filecoin has been observing a surge in the TVL with decline in the storage cost. FIL token price is currently in a consolidated trend on the daily chart. Various analysts are predicting a strong rise in the asset value in the near future.
Technical Levels
Major Support:$3
Major Resistance:$5
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/08/24/filecoin-price-prediction-fil-price-fails-to-gain-momentum-where-to-next/