- FET was retesting a crucial support level, at the time of writing
- Market sentiment turned bearish, but indicators remained optimistic
After breaking out of a bull pattern, Artificial Superintelligence Alliance [FET] has once again dropped on the charts over the past week.
However, investors shouldn’t panic, as the token might just be retesting a crucial support. In fact, a recent analysis predicted that investors might soon expect FET to go on a massive rally.
FET is planning a move
World Of Charts, a popular crypto analyst, recently highlighted a breakout on FET’s charts on X (formerly Twitter).
To be precise, FET has been moving inside a widening wedge pattern since March. And, the token managed a breakout in late September, after which it did register some gains. However, the token soon turned bearish once again as its price dropped over the last 7 days.
Source: X
Even so, investors shouldn’t worry. Especially since FET may be just testing the upper support of the widening wedge pattern.
World Of Charts’ tweet mentioned that in the case of a successful test, investors might soon see FET rally by more than 100%. In fact, some would argue that the altcoin’s bull run has already begun too.
Consider this – According to CoinMarketCap, FET’s price hiked by over 7% in the last 24 hours. At press time, the token was trading at $1.46.
Is a 100% rally possible?
AMBCrypto then checked FET’s on-chain metrics to better understand if expecting a 100% rally is logical.
As per our analysis of Santiment’s data, after a sharp spike, the token’s weighted sentiment declined. A drop in this metric alludes to a hike in bearish sentiment around the token.
Additionally, its supply on exchanges also rose, meaning that investors have been selling. Whenever selling pressure rises, it increases the chances of a price correction.
Nonetheless, there is still hope. For example – The token’s MVRV ratio increased, which can be considered a bullish signal.
Source: Santiment
Finally, AMBCrypto assessed the token’s daily chart to find out what market indicators suggested regarding a 100% bull rally in the near term.
Thankfully, most of the market indicators looked pretty bullish for the token. For instance, as per the Bollinger Bands, the token was testing its resistance near its 20-day Simple Moving Average (SMA).
Read Artificial Superintelligence Alliance’s [FET] Price Prediction 2024–2025
The rest of the indicators hinted at a successful breakout too. For instance, the MACD flashed the possibility of a bullish crossover. The Relative Strength Index (RSI) gained some upside momentum too.
If these are to be believed, then FET might initiate a massive rally. Such a rally will allow investors to earn profits in the coming days or weeks.
Source: TradingView
