Assessing the why and how of FTM ‘outperforming’ several other cryptos
- FTM’s active addresses and transactions have declined over the last few weeks
- Investors’ interest increased as accumulation rose
Over the last 24 hours, Fantom [FTM] has managed to outperform several other cryptos with a larger market capitalization in terms of its price action. In fact, at press time, FTM was trading at $0.4196 with a market cap of more than $1.16 billion, following a 24-hour hike of over 7% on the charts.
Positive reactions from the market in the past 24 hours to the good news from SVB bank!
Check out the Ranking Blockchain by Percentage Increase in Price in the Last 24 Hours
— Fantom Insider (@fantom_insider) March 13, 2023
Read Fantom’s [FTM] Price Prediction 2023-24
And the contributing factors are…
The prevailing bullish market sentiment has definitely played a major role in the price pump. Nevertheless, a few other factors should also be considered when examining what helped FTM outperform the rest.
For instance, Fantom recently shared its general update report, highlighting the major developments in its ecosystem. One of these major updates was the launch of Fantom’s go-opera version 1.1.2-rc.5 mainnet release. This upgrade included enhancements to the processing of batched genesis blocks, the management of customizable databases, the parallel search of EVM logs, and P2P protocol improvements.
The past few weeks on #Fantom!
?Distributions sent to all @Gitcoin grant participants
?Mainnet Release go-opera 1.1.2-rc.5 is ready
?@graphprotocol adds Fantom to their MIPs program
— Fantom Foundation (@FantomFDN) March 13, 2023
Here, it is also interesting to note that Fantom’s Ecosystem Vault hit 200,000 FTM. To clear the air, the Vault is a fund created with the goal of empowering builders on Fantom by providing a decentralized avenue for funding initiatives, concepts, and creations through a community-driven decision process.
A decline in network activity
While FTM’s price action remained bullish, network activity seems to have declined lately. In fact, Dune’s chart revealed that the number of successful transactions have been declining for quite a few months now. Also, active addresses registered a decline in the recent past, further proving less activity on the network.
Is investors’ interest declining too?
Despite declining network activity, investors’ interest in FTM has risen over time, which is evident from its metrics.
For instance, FTM’s supply held by top addresses increased considerably over the past month, indicating investors’ confidence. Network growth also remained consistently high, suggesting an increased number of new addresses were used to transfer the token.
How much are 1,10,100 FTMs worth today
Can FTM continue to outperform the rest?
FTM investors might have yet another reason to celebrate as several on-chain metrics seemed to suggest that FTM can continue its price surge. FTM’s supply on exchanges registered a decline while supply outside of exchanges went up. This was a sign of sustained accumulation, which is by and large a bullish signal.
Moreover, FTM’s MVRV Ratio also recovered over the last week, suggesting a further uptrend. Finally, FTM’s demand in the derivatives market remained relatively high – Something evidenced by its Binance funding rate.