Filecoin holds a $1,630,646,700 market capitalization retaining its 34th position amongst the market leaders. The rundown effect of BTC moving back to its lower value zone has incited a fear sentiment prompting the holders of the FIL token to pack their bags and run away from this token.
The pumping scenario for FIL has repeatedly resulted in a declining market trend that lasted for over months. This time the outlook is similar and needs a major market development to incite new crypto enthusiasts to consider FIL for its offerings.
The Filecoin price trend has been battered since its last breakout attempt that was cut short by the sellers. The resistance developed at $10 is slowly gaining traction and pushing the support level even lower. With moving averages still out of the conquering ability of FIL price action, the prospects are more inclined towards the negative direction. Will FIL even come close to the $10 mark? Find more details in our Filecoin predictions.
The negative element developed with the Filecoin price action has created immense challenges for the buyers to hold their ground. Since the peak of August 2022, FIL has already slipped significantly, creating immense challenges for retracements. Even the 100 EMA curve requires an upside movement, which creates fresh challenges for the buyers.
MACD has developed a no indication trend on the technical front as prices have turned volatile in a narrow zone. Similarly, the RSI indicator has been moving in a narrow zone, which can be summarized as consolidation on daily charts.
Even the Filecoin candlestick volatility or one-day price action has succumbed, with volumes touching the previous lows. The FIL outlook in such price action showcases a negative stance with the near resistance in the face of the 100 EMA curve at $7.28.
Filecoin has moved down in a clear profit booking stance with just a few green candles to halt the negative trend for a week. The resulting price action of FIL creates even more aggressive selling creating a panic scenario and forcing buyers to quit.
The candlestick pattern has extreme negative vibes, and breaching $4.66 could create a cascading selling scenario forcing the value to dip below $3. Technical indicators of FIL on weekly charts showcase a negative stance, with MACD displaying an uptrend opportunity. RSI is slowly moving in a consolidative stance, maintaining a value below 40 on the histogram.
Source: https://www.cryptonewsz.com/filecoin-succumbs-from-august-peaks-can-fil-show-retracement-sign/