Analyst Predicts End of Downtrend for Fantom (FTM) with $1 Target in Sight
Fantom (FTM) has shown impressive strength over the past 24 hours, as it attempts to break through a critical horizontal level. With some market analysts forecasting a potential surge of 345% before the end of the year, there are key levels that need to be surpassed in order for FTM to reach a new all-time high (ATH).
Breaking Out of the Downtrend
Fantom’s price experienced an 8.2% jump towards a crucial resistance level that hasn’t been seen in four months. This recent move has brought the cryptocurrency close to the $0.8 mark for the second time in the past week, igniting a bullish sentiment among investors.
Over the past three months, FTM has witnessed a significant 46.6% increase in price, recovering from the market crashes of Q3 and challenging the price action seen in June. June’s horizontal resistance level is considered the first critical hurdle for Fantom, as it served as a strong support area during Q1 and Q2.
Furthermore, FTM has been in a downtrend for the past seven months since reaching its yearly high of $0.97, currently sitting 23% below that level. Market analyst AMCrypto asserted that the cryptocurrency’s downtrend “is now over.”
AMCrypto pointed out that the token broke above the trendline after surpassing the $0.74 resistance level and testing it as support over the past week. However, the analyst also highlighted the similarities between FTM’s current chart and the one prior to the Q1 rally.
Diverging FTM Price Predictions
According to AMCrypto, Fantom may experience a final correction towards the $0.70-$0.72 range before rallying 35% towards the $1 level and above. Another crypto investor, Rager, also commented on the strength of FTM’s chart, comparing it to the pump seen in Solana (SOL) in 2023. Rager believes that FTM will catch up with the major chains in the next three months.
Altcoin Sherpa, another analyst, expressed confidence in Fantom’s future performance. Sherpa believes that FTM will continue to rise if Bitcoin’s price remains stable. FTM’s price has been influenced by Bitcoin, often losing support when the flagship cryptocurrency experiences a drop. However, Fantom has managed to hold above the recently reclaimed $0.74 mark as Bitcoin dipped 2.2% to the $67,000 support zone.
To maintain its bullish momentum and surpass the $0.8 resistance, FTM must reclaim the $0.75 level. If successful, this could lead to a potential rise above $3.
Anticipating ATH and Token Migration
Other market watchers have suggested that Fantom will reach a new ATH before its upcoming token migration. As previously reported, Fantom is preparing to transition to the Sonic Network between November and December of this year.
During the migration, FTM will convert to Sonic’s native token, S, with a 1:1 conversion ratio for FTM holders. The new cryptocurrency will have a supply of 3.175 billion tokens, equivalent to Fantom’s current supply. Additionally, 190.5 million tokens, accounting for 6% of the supply, will be minted six months after the launch.
At the time of writing, Fantom is trading at $0.746, representing a 0.4% increase in the daily timeframe.
Featured Image from Unsplash.com, Chart from TradingView.com.