Tokenized securities are still securities – SEC Peirce’s warning!
- Two whales accumulated 7.2 million FARTCOIN, boosting bullish structure around $1.25 resistance.
- Funding Rates flip positive while sentiment remains negative, hinting at a contrarian setup.
Two whales just made coordinated moves that shook the market.
Within 24 hours, they collectively spent $8.7 million USDC to accumulate over 7.2 million Fartcoin [FARTCOIN], averaging $1.20–$1.22 per token.
Source: Lookonchain
Despite the price hovering around $1.17 at the time of writing—down 2.46% on the day—these large-scale buys hint at growing confidence from smart money.
So, what are they seeing that the crowd isn’t?
Is a breakout brewing from this classic setup?
FARTCOIN’s daily chart showcased a well-formed cup-and-handle pattern, a classic bullish reversal signal. The neckline rested around the $1.2575 resistance level, which has acted as a key barrier in recent weeks.
At press time, price was consolidating below a descending trendline, forming the “handle” of the structure. A decisive break above $1.26 would validate the pattern and possibly ignite a rally toward $1.60.
However, failure to reclaim this level soon could invite bearish pressure back toward the $1.00 psychological support.
Source: TradingView
Why is FARTCOIN still flowing out of exchanges?
Despite the recent whale activity, Spot Exchange Netflow was at -112.67K on the 6th of July, per CoinGlass.
That means more FARTCOINs were exiting exchanges than entering, indicating that broader investor behavior still favors holding over selling.
This trend continues to support the supply squeeze narrative. Although whales injected fresh liquidity, the lack of significant inflows suggests sellers are not dominating.
Are traders starting to flip bullish again?
Funding Rates on Binance turned positive at 0.005%—a subtle but notable shift.
While the rate remains modest, it marks a critical sentiment inflection after a long stretch of negative or neutral positioning.
This uptick aligns with the recent price consolidation near resistance, implying that traders expect a breakout. However, until funding spikes significantly, the conviction remained cautious.
Why does THIS remain bearish despite recent strength?
On-chain mood, however, tells a different story.
Weighted Sentiment dropped to -1.403, even as price formed a bullish structure and whales stepped in.
Historically, such disconnects—bearish sentiment in a bullish setup—have preceded explosive upside moves. It’s a classic “max pain” environment where the market punishes the majority view.
What happens to FARTCOIN above $1.26?
FARTCOIN sits at a critical technical juncture, supported by large whale buys, a bullish chart structure, and slightly improving trader sentiment.
However, persistent negative crowd sentiment and declining network growth suggest cautious optimism is warranted.
A confirmed breakout above $1.26 could change the tide completely, but failure to do so may keep the token stuck in consolidation. Traders should watch for volume surges and funding spikes as breakout confirmation signals.
