Fantom Eyeing Towards Immediate Resistance; Can FTM Breach 100 EMA?

Fantom Eyeing Towards Immediate Resistance; Can FTM Breach 100 EMA?

Fantom has made its name in the smart contract economy because of its faster transaction time and cheaper transaction cost. From its launch in 2018 until 2021, Fantom was rather unpopular as major attractions were ETH, SOL, ADA, MATIC, and other leading smart contract operators. Such competition intensified, and the benefits of advanced cryptographical chains were widely understood. Thus, Fantom witnessed a massive boom marking incredible gains in just 10 months of 2021. 

Fantom has two components to its network; one is called the Lachesis protocol, which is responsible for securing the Fantom network by providing it with a two-second smart contract transaction processing time and required security. While the second part is named Opera, an application development layer that enables permissionless and open source hosting of dApps. Rather than depending on a node operator, they are allowed to just rank the tokens in terms of a degree of agreement and disagreement on a scale of 0 to 4. FTM still relies on Proof of Stake and an aBFT consensus mechanism to power its network. 

The price action of this DAG-operated cryptocurrency is not known widely, but the intention of combining security, speed, stability, and decentralization is not an easy feat. As of August 2022, Fantom ranks 53 in the classification as per the liquid market capitalization of its token.

Fantom inches towards the immediate resistance based on three months’ price action. $0.4436 is marginally away from the latest trading value of $0.3787. Technicals are indicating higher positive strength than the previous swing. Read a more detailed FTM price prediction here!

Fantom token has already breached the high of the previous swing that ended on July 24. Presently, the outlook is more inclined towards consolidation as FTM is closing towards its price action-based resistance and 100 days exponential moving average resistance. 100 EMA price action is more important as the reaction of FTM near this range can dictate the further possible price action. Fantom is already trading at a negative of its peak value of $3.68 that it touched in October 2021. The current value of $0.3787 has to continue a strong run of 10x just to reach the previous highs.

The outlook for the short-term duration is bullish for now, and buying action has been registered on both RSI and transactional volumes. MACD has remained equally bullish by maintaining a steady gap between its two curves. 

FTM PRICE CHART

FTM weekly charts show a massive uptrend with slow decline and a strong resistance witnessed at the psychologically important level of $1. $1 would be an important level for FTM price action as this value has created challenges for buyers during the uptrend and sellers during the profit booking phase.

In the previous attempt, FTM witnessed two rejections before it was able to move upwards. The decent gains the Fantom cryptocurrency has achieved in August 2022 is a positive indication, which can help the buyer’s sentiment in breaching the immediate resistance waiting for FTM along its way.  FTM has a significant upside movement indication, alongside turning 100 EMA and 200 EMA into immediate support levels. 

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