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Fantom surprises investors with price gains, but will the rally continue

Published

2 years ago

on

  • FTM’s active users increased over the last few months, and its price registered massive gains. 
  • A few of the metrics were bearish, but the market indicators supported the bulls.

Fantom Insider, a Twitter account that posts updates related to the Fantom [FTM] ecosystem, recently pointed out the networks’ achievements.

As per the tweet, Fantom had the lowest transaction fee of $0.0003 while having the capacity to process transactions faster. 

Realistic or not, here’s FTM market cap in BTC’s terms

These developments might have played a significant role in increasing the network’s revenue. Token Terminal’s data revealed that Fantom’s revenue increased considerably over the last few days, which looked quite promising. 

Source: Token Terminal

FTM continues to WOW investors

Moreover, Fantom’s growth was not limited to network stats. Its token’s performance was also something to consider. As per CoinMarketCap, FTM’s price increased by more than 14% in the last 24 hours and nearly 50% over the last week, which was laudable.

At press time, it was trading at $0.4698 with a market capitalization of more than $1.3 billion. It was also interesting to note that FTM’s monthly users registered a spike lately, suggesting increased adoption and usage of the blockchain. 

Source: Dune

Is the hike sustainable?

While everything looked good, Dune’s data

revealed that despite an increase in the count of users, FTM’s number of transactions gained downward momentum over the past few months.

FTM’s price hike also remained a subject for questioning as its latest pump was followed by a decline in volume. Surprisingly, while FTM’s price went up, its weighted sentiment registered a decline.

Thus, reflecting decreased investors’ confidence in the token. Nonetheless, both FTM’s velocity and network growth were up last week, which is a positive signal.

Source: Santiment

Read Fantom’s [FTM] Price Prediction 2023-24

FTM can pump further because of these factors

Though a few of the on-chain metrics were bearish, FTM’s daily chart suggested a further price uptick in the days to follow.

For instance, the Relative Strength Index (RSI) went up and headed further above the neutral zone. FTM’s Chaikin Money Flow also displayed an uptick, which looked bullish.

The MACD showed a bullish advantage in the market. Considering the market indicators, FTM might continue to witness value pumps in the days to come, well only if the on-chain performance doesn’t haunt the token.

Source: TradingView

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