Altcoin
Binance reveals Fantom to Sonic swap and rebranding – Should you sell FTM now or wait?
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Journalist
- Binance will halt deposits and withdrawals of FTM and delist all its trading pairs.
- The report clarified that all FTM tokens will be swapped to S at a 1:1 ratio.
Amid ongoing market uncertainty, Fantom’s native token, FTM, is making waves and garnering significant attention from crypto enthusiasts.
On 24th December, Binance, the world’s largest cryptocurrency exchange, published a report highlighting that it will support Fantom’s rebranding and token swap.
What is happening to FTM?
According to a recent report, Fantom is set to rebrand as Sonic (S) in early January 2025. Following this rebranding announcement, Binance stated that it will halt deposits and withdrawals of FTM and delist all its trading pairs, including FTM/BTC, FTM/USDT, and FTM/ETH, effective January 13, 2025, at 3:30 UTC.
Additionally, the FTM token will adopt the ticker “S” on Binance.
Once the rebranding process is complete, Binance will open trading for the S/BTC, S/BNB, S/ETH, S/EUR, S/FDUSD, S/TRY, S/USDC, and S/USDT trading pairs starting 16th January, 2025, at 8:00 UTC.
Following this announcement, traders and investors have expressed concerns about its impact on the FTM price. However, the report clarified that all FTM tokens will be swapped to S at a 1:1 ratio (1 FTM = 1 S), indicating that there will be no significant impact on the price.
At press time, FTM was trading near $1 and has experienced a price decline of 0.35% in the past 24 hours. During the same period, its trading volume surged by 37%, indicating increased participation from traders and investors following this update.
Fantom technical analysis and key levels
According to AMBCrypto’s technical analysis, FTM is at a crucial support level of $0.95.
Based on recent price action and historical momentum, if the altcoin holds this support level, there is a strong possibility it could soar by 40% to reach the next resistance level at $1.43 in the future.
Source: TradingView
Conversely, if FTM fails to hold the $0.95 support level and closes a daily candle below $0.91, there is a strong possibility it could decline by 30% to reach the next support level at $0.64.
Based on the price behavior at these support levels, traders and investors may encounter a buy or sell opportunity.
FTM’s bullish on-chain metrics
However, traders and long-term holders’ interest following this announcement seems neutral, as they are continuously building new positions and accumulating tokens, according to the on-chain analytics firm Coinglass.
Data from FTM spot inflow/outflow reveals that exchanges have witnessed a significant outflow of $9.5 million worth of FTM tokens in the past 24 hours.
This notable outflow indicates that long-term holders withdrew tokens from exchanges to wallets, suggesting potential upside momentum and an ideal buying opportunity.
Source: Coinglass
Read Fantom’s [FTM] Price Prediction 2024-25
Meanwhile, FTM Open Interest (OI) has soared by 14%, indicating the formation of new positions and increased participation from traders in the past 24 hours.
When combining these on-chain metrics with the technical analysis, there are no bearish signs, suggesting potential upside momentum in the coming days.
