The fact that BTC has fallen below the $20k mark indicates that the sentiment in the market is still ‘very fearful’. This could have resulted in Fantom (FTM) not being able to sustain its position above $0.25, which then flipped the sentiment to bearish.
FTM/USDT 4-Hour Chart Source: TradingView
When looking at FTM’s 4-hour chart, a bearish bias is evident, even though this was flipped a few days ago. The downtrend formed a lower high at $0.26, but the price was able to close just above this point. FTM was still, however, able to form higher lows which can be seen when looking at the rising trend line support.
This uptrend has since then disappeared as the low at $0.22 was broken.
FTM/USDT 1-Hour Chart Source: TradingView
With regards to FTM’s 1-hour chart, the lows that the trend line touches are very clear, but over the last few hours, this support has been broken and the price of FTM has dropped lower than the higher low of the uptrend, leading to a market break.
FTM/USDT Technical Indicators Source: TradingView
Fantom’s technical indicators show that the hourly RSI is currently below the neutral 50 and has been unsuccessful in climbing over the 60 mark. This means that buyers are lacking strength. The CMF is currently beneath -0.05, which highlights the flow of capital out of the market.
According to CoinMarketCap, FTM is currently worth $0.2179 after a 1.26% drop in price over the last 24 hours, and after reaching a high of $0.2271 over the same time period. Over the last week, FTM saw a 15.51% price decrease.
Investors looking to enter a short position can consider placing a stop-loss at the $0.25 level while the lows at the $0.2 level can be utilized to take profits.
Disclaimer: The views and opinions expressed in this article are solely the author’s and do not necessarily reflect the views of CQ. No information in this article should be interpreted as investment advice. CQ encourages all users to do their own research before investing in cryptocurrencies.
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Source: Cryptocurrency - investing.com
