Retest to Channel Support Hints at Bullish Recovery

The Fantom(FTM) traders completed the prior bear cycle within a falling channel as the altcoin dropped to the support trendline at $0.03. However, the altcoin rebounds from this trendline with a morning star candle in response to the price pattern. A bullish breakout from $0.04 resistance should trigger a recovery rally.

Key points

• The FTM price tends to kickstart a new bull cycle from the bottom support trendline.
• The coin price teases a bullish breakout to the $0.4 mark.
• The intraday trading volume in the Fantom coin is $ Million, indicating a % gain.

Source- Tradingview

The Fantom(FTM) price has been lowering in a falling parallel channel pattern for nearly four months. Multiple retests to this channel’s upper and lower band indicate the pattern is effective and traders are respective to its level.

Furthermore, the recent bear cycle initiated from the $1.64 mark showcased a slow but gradual downfall in FTM price. The falling price poked through the $1 psychological level and knocked out several other support levels down the road.

On May 12th, the FTM price plunged to aligned support of the bottom trendline and the $0.03 mark, reflecting an 83% fall. However, the altcoin witnessed a strong demand pressure at this support, reverting the price with a 33% pump.

Moreover, the FTM price tends to breach the $0.4 immediate resistance, providing the first sign of recovery and a potential rally of 120% to hit $1.

Anyhow, a bullish breakout from the falling pattern is the key to the FTM uptrend. 

Technical indicator

The ADX slope shows steady parabolic growth and accentuates the seller’s commands of the overall trend.

However, the daily-Stochastic RSI indicator is on the verge of a bullish crossover, giving additional confirmation for a $0.04 breakout.

• Resistance level- $0.4 and $0.6
• Support levels- $0.2 and $0.1

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.