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After rallying higher than Bitcoin, Ethereum, there is little holding Fantom back

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Source : Pexels

Bitcoin and Ethereum usually lead the rally which is followed by almost all the other altcoins in the market. However, many a time, altcoins manage to outperform their growth and that is the case at the moment.

Fantom surpassed the rally registered by BTC and ETH this month, but data suggested there’s more action where that came from.

Fantom on the rise

Over the month, until today, top coins, Bitcoin and Ethereum rose by just 38% and 30% respectively. In fact, the top 35 coins, except for Shiba Inu, haven’t rallied this high either. 

Fantom witnessed a rise of 85.71% since October 1 and over 15% in just the last 24 hours. Moreover, as the Fantom Developer conference gets closer, the hype is getting stronger.

Fantom price action | Source: TradingView – AMBCrypto

Adding to the bullishness seen in terms of price, the network has already witnessed a significant increase in investor participation as well.  Along with participation, there has been increased investment too.

The average active addresses have shot up by 353% from 203 addresses to 1.2k. And the average transaction volume has seen a rise of 202% averaging at $150 million at the moment.

Fantom transaction volume | Source: Intotheblock -AMBCrypto

Further, the addition of multiple projects on the blockchain resulted in the network growth rate rising by almost 462%. Recently, stablecoin TrueUSD ($TUSD) was added to the network via the AnySwap protocol. And the expansion of Yearn.Finance to Fantom improved yield farming opportunities for FTM investors.

Fantom network growth | source: Santiment – AMBCrypto

So are investors happy?

The investors are happy. In fact, they are so happy that they are not able to keep up with the bullishness as they are selling for profit consistently for almost 10 days now. Balance on exchanges has observed a sharp rise of over 100 million FTM since October 8.

Fantom exchange balance | source: Santiment – AMBCrypto

Adding to that is the 2-month high volatility which indicates an unprecedented price swing in either direction at any time. Plus the more than 50% whale concentration only makes investing in the asset more worrisome.

The one good thing, however, is the fact that even if corrections arrive, due to its high correlation with Bitcoin of 0.92, it won’t fall by much should the king coin continue rising. But since Bitcoin is itself falling at the time of this report, it could take down Fantom with it.

Fantom correlation to Bitcoin | Source: Intotheblock -AMBCrypto

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Aaryamann is a full-time journalist at AMBCrypto. He is a recent journalism graduate, currently investing his time in the crypto-space. He has a keen interest in DeFi, the ever-expanding possibilities of blockchain technology, as well as the political impact they would have.