FET price plunges 20% in a week – Will AI crypto selling trigger a bigger crash?
Investors remain skeptical about FET’s rally potential due to losses in the past week.
- FET has begun gaining ground, with a notable rise in price and trading volume among traders.
- There’s mixed sentiment in the market surrounding the direction FET is heading.
Artificial Superintelligence Alliance Price Prediction’s [FET] performance in the past week and month has been bearish, with declines of 28.34% and 48.81%.
This has kept investors doubtful, as they anticipated a potential price crash as the AI sector weakens.
However, AMBCrypto found that despite the slight bearishness in the market, FET is currently displaying potential for a price rally in the coming days.
Buying activity spikes
There’s been a notable spike in FET buying activity among market participants despite last week’s crash.
In the last 48 hours, a total of $6.13 million worth of FET has been purchased on exchanges and moved into private wallets, as indicated by exchange netflow data from Coinglass.
This has led FET to gain significantly in the past 24 hours, rising by 31.25% to $0.77, backed by strong buying momentum of approximately $706 million—a 75% increase.
While this indicates potential for FET to continue rising and recording successive gains, AMBCrypto found mixed sentiment among derivative traders.
Mixed sentiment: Is a crash still near?
Derivative traders show mixed sentiment despite bullish formations.
The Funding Rate remained bullish, reading 0.0127% at press time, which indicated that long traders were more confident in a potential rally and were paying a market premium to maintain their positions.
Typically, a positive Funding Rate correlates with upward price movement, especially when supported by rising volume.
Open Interest (OI) has shown a 7.64% increase to $76.7 million in the past 24 hours as well, signaling shifting sentiment on the chart.
OI measures liquidity inflow and outflow in an asset among derivative traders, depending on whether they’re opening or closing contracts. In this case, it indicates likely liquidity inflow into FET, which is a positive sign.
However, closer attention to the OI chart shows a downward trend despite recent gains. If this continues, FET may change course and record further losses.
Where next for FET?
On the chart, there’s a probability that FET could see either a rebound or further decline as it trades at a critical support level of $0.780.
Read Artificial Superintelligence Alliance’s [FET] Price Prediction 2025–2026
Ideally, this support level should catalyze a price surge, pushing FET higher toward the $2.70 target.
However, market fractality suggests FET might lose the $0.780 support level, just as it breached the $1.104 level, causing further declines. This outcome would depend on whether bullish momentum wanes and bears take control.
