Filecoin (FIL) resistance near $3.4 allowed sellers to search for short-selling gains in the past few days. After reaching the resistance on October 8th, players who shorted FIL gained over 9% in short-selling at $3.1.
Current Data on FIL!
In the previous technical analysis of FIL, it was showing a downward trend after reaching the resistance. The confirmation of the projection after the price’s retreat to the buy order block at $3.0 could provide a postponement for buyers.
However, there is not a definite return close at hand as of the writing of this article. The return of the price in the token fell to the daily buy order block (OB) at levels of $2,950 and $3,127, which indicates high time frame support. Although this situation is promising for the bulls, there was no sign of a return at the time of writing this article.
The fundamental price charts were negative and leaned towards a downward trend in the short term. The selling pressure intensified as indicated by the movement of the relative strength index (RSI) towards the oversold zone. In addition, the negative readings in OBV and CMF also indicated a decrease in spot market demand for FIL and capital inflows.
FIL Price Future
However, if Bitcoin (BTC) recovers from recent losses, FIL can see a return towards the $3.2 and $3.4 resistance. In the last few hours before the press time, demand in the derivative segment of FIL stagnated as indicated by the horizontal movement in the Open Interest rates.
Furthermore, the recent volatility in funding rates suggests a possible narrow consolidation before the rise. However, decreasing Cumulative Volume Delta (CVD) showed that sellers had the advantage in the market at the time of writing this article. Filecoin (FIL) is under selling pressure against the $3.4 resistance. Although there is a chance for some level of upward movement, there is no definite sign of a rise with technical indicators and low trading volume. The future of FIL depends on Bitcoin’s performance and demand, but uncertainty persists.