Bitcoin continues to hold at $73,000, while double-digit increases in altcoins are becoming more common. The altcoin we are discussing now is experiencing a shrinking supply on exchanges, which is bolstering investor optimism. The scarcity of supply in cryptocurrencies is the opposite of high inflation and triggers price increases.
Fantom (FTM)
Since the beginning of March, the supply of FTM Coin on exchanges has been contracting. The exchange supply, which was 655 million on March 1, has fallen to 643 million. The price increase from roughly $0.50 to $0.82 also coincided with the supply contraction.
A decrease in the supply of any altcoin on exchanges means that more assets are being moved to cold wallets. This reflects the tendency of long-term investors to store their assets themselves rather than keeping them ready for sale, which increases the price. At the same time, a reduction in the supply ready for sale helps raise the spot price on the exchange.
Nevertheless, about 43% of FTM Coin investors are in profit. This percentage is much higher for cryptocurrencies like BNB, SOL, BTC, FLOKI, and many others. Especially for assets like FLOKI and BTC, 95-99% of investors are profitable. As this trend spreads among altcoins, we can better understand how far behind FTM Coin is in terms of price performance.
FTM Coin Price Prediction
The IOMAP chart shows us the cost concentration of investors in the relevant cryptocurrency. Accordingly, the $0.80 support is strong, and there is a $0.77 region below it. On the other hand, there is a concentration of investors who have bought between $0.85 and $0.95, suggesting there could be sales in this area before reaching the $1 target.
On the weekly chart, closures above $0.88 could hint at peaks of $1.06 and $1.25. Especially as Bitcoin remains strong and altcoins with massive market values like BNB Coin target the ATH region, FTM Coin should at least be able to achieve this.
With an ATH region at $3.5, FTM Coin has not yet surpassed its early 2022 peak. Its journey to ATH could be possible with closures above the $1.67 peak.
