Fantom witnessed a significant 17% increase in value, making it a top performer in the cryptocurrency market. As of the morning of August 22, Fantom (FTM) traded at $0.461, with daily trading volume more than doubling to approximately $284 million. Its market capitalization currently stands at $1.29 billion, placing it 62nd among the largest cryptocurrencies.

The token’s price has surged by 67% since hitting a low of $0.276 on August 5, a period marked by significant market crashes in both crypto and stock markets, leading to over $1 billion in liquidations. Despite this recent surge, FTM remains 86.6% below its all-time high of $3.46, recorded in October 2021.

Currently, Fantom’s price at $0.4621 is positioned above the upper Bollinger Band at $0.4520, indicating a potential breakout from typical volatility levels. This position above both the middle band at $0.3655 and the upper band suggests strong upward momentum in the market, reflecting bullish sentiment.

Given that FTM price exceeds the upper Bollinger Band, there could be concerns about the asset becoming overbought.

The Relative Strength Index (RSI) at 61.93, though elevated, does not firmly categorize the asset as overbought, which would typically be indicated by an RSI over 70. This suggests that while buying momentum is strong, there may still be room for upward movement before the asset enters potentially overbought territory.

This scenario indicates a market that has likely responded to positive stimuli, pushing the price above usual resistance levels without reaching a point of reversal based on overbuying. Traders might find this an attractive opportunity to capitalize on the momentum, potentially driving the price higher in the short term. However, caution is advised as rapid changes could lead to a quick retracement if the price adjusts back into the normal range of the Bollinger Bands.

Stay updated with the latest cryptocurrency news and trends on Global Crypto News.

Post Views: 5