Altcoins have been experiencing difficult days, with many cryptocurrencies witnessing losses exceeding 20%. BTC is currently at $62,000. Some altcoins are managing to move in the opposite direction of the market during this period. Now, two important signals indicate that a similar scenario could occur for FTM Coin.
Fantom (FTM) Coin
Altcoin prices are shaped by investor sentiment and overall market mood. When one or both are negative, prices tend to move downward. For instance, the current losses in BTC prices have soured the overall market sentiment, prompting investors in altcoins to line up for more sales.
FTM Coin has been relatively less affected by the general market downturn. There are, of course, several reasons for this. On-chain indicators are giving early signals that prices are expected to re-enter an upward trajectory. The strongest signal comes from the DAA Divergence indicator.
This metric shows us the connection between the current price and the number of active trading addresses. A decrease in active addresses while the price rapidly rises is attributed to speculative buying or price manipulation. Conversely, if the price of the token falls while the number of active addresses on the network increases, it indicates an approaching upward trend.
FTM Coin Predictions
Among the buying signals we see in many altcoins these days, one is also apparent in FTM Coin. The 30-day MVRV now declares that the price is at its lowest. While every low can lead to an even lower low, historical data is encouraging as Fantom’s 30-day MVRV is at -27%.
In the past, many investors started accumulating when MVRV was between -12% and -27%, leading to price increases. Therefore, investors might begin buying FTM Coin, considering its price low. On the other hand, BTC’s price lingering at $61,700 suggests that the risk of massive losses below the $60,000 level is still strong.
If buyers take action, FTM could test the resistance range of $0.80 to $0.88, attempting to surpass the $1 target again. However, if demand remains weak and the BTC downturn continues, we might witness FTM Coin’s price dipping to support levels of $0.60 and below.
