Home
News
- 1 Filecoin price is currently trading at $4.533 while witnessing a gain of +1.23% during the opening of the market.
- 2 Fil price trades below 20,50,100, and 200-day EMAs.
- 3 The YTD return of Filecoin is 51.05%, while a three-month return is -34.18%.
Filecoin price is currently stuck in a consolidation zone ranging between $4.30 and $4.63 after breaking a major support of $5.22 level. The bullish rally for Filecoin price began at the start of 2023 from the low of $2.99, causing a rise of approximately 215%. The move helped in the creation of annual highs at the $9.50 level.
Filecoin faced strong rejection from $9.50, which triggered a drop, and bears pushed the price down to the $4.90 level. The cryptocurrency price did try to retest and regained the bullish momentum from the support, but the move was halted at $7.583 level. Bears have had a significant influence over the price for the past 3 months.
While the market leader Bitcoin remains in an indecisive phase, the filecoin has also been consolidating. If bulls can push the price above the immediate resistance of $4.63, there is a higher probability for the price to retest the support-turned resistance of $5.22 level and rise toward $5.80. While on the other hand, if bears can push the price below $4.20, there is a possibility that the price might melt down to $3.70, causing a loss of roughly 12%.
Developments in Filecoin Ecosystem
Fil coin has become a critical addition to the decentralized web, thanks to its innovative approach to data storage. The project has also made announcements regarding the release of Waterlily, the IPC subnet, and Fil-covered Call Vaults. Analysts believe that as more traders and companies seek decentralized data solutions, Filecoin prices will continue to grow.
Will Fil Price Fall to $3.70?
Fil price is currently trading below the 20, 50, 100, and 200-day EMAs indicating bearish momentum in the price. The price has faced rejection from 20 days several times in the past month, and the current candle is slightly rejecting the EMA. Traders should be cautious as the price approaches the EMA.
RSI trades at 43.53, rising from the oversold zone, indicating a rise in buyers in the market. The past three days have been bullish for Fil price, and price might escape the consolidation zone in an upward direction if bullish sentiment prevails.
Chaikin money flow score is 0.20, suggesting bullish strength in the market. The Bollinger bands have contracted, indicating low volatility. The long/short ratio is 1.08 with 51.94% longs and 48.06% shorts, showing that buyers are starting to jump in the market to protect the price from further downfall. This ratio reflects the position taken in the last 24 hours.
Conclusion
The market structure and price action for Filecoin are currently indecisive as the price is stuck in a consolidation zone. Buyers are stepping into the market, and the price has been bullish for three consecutive days. It should be seen if the price would escape the consolidation phase in days to come.
Technical levels
Major support: $4.30 and $3.70
Major resistance: $4.63 and $5.22
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
