Fantom rises 9% to 3-month high with potential for more gains
Fantom (CRYPTO:FTM) has surged by 9% in the past 24 hours, reaching a three-month high of $0.56.
On-chain metrics and technical indicators suggest further upside potential, with FTM possibly rising by 13% to $0.63 if the current bullish trend continues.
This recent surge places FTM among the top-performing cryptocurrencies within the top 100 by market capitalization, driven by strong demand and increased trading volume.
The upcoming Sonic upgrade, set to launch on the mainnet in November, is a significant factor contributing to the positive market outlook for Fantom.
The upgrade will introduce the new Fantom Virtual Machine (FVM), an improved Lachesis consensus mechanism, and the Carmen database storage system.
These enhancements aim to improve the network’s performance, enabling it to handle over 2,000 transactions per second (TPS) with a finality time of about one second, compared to its current capacity of 30 TPS.
Since the Sonic testnet went live on September 6, whale activity on the Fantom network has increased.
According to data from Santiment, there has been a 5% rise in whale addresses holding between 1,000,000 and 10,000,000 FTM coins.
This accumulation by large holders reflects confidence in the network's upcoming improvements and their potential impact on FTM's value.
Technical analysis also indicates potential continued gains for FTM.
The Relative Strength Index (RSI) stands at 67.50, showing strong buying pressure near overbought levels.
The Elder-Ray Index, which measures the balance between buyers' and sellers' strength, is positive at 0.12, reinforcing the bullish trend.
If the bullish momentum persists, FTM could rally by another 13% to reach the $0.63 resistance level from April.
Breaking past this level could pave the way for further gains, with the next resistance target set at $0.85, suggesting ongoing optimism in the market.
At the time of reporting, the Fantom (FTM) price was $0.5823.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Nvidia Hit With Crypto Lawsuit From SEC and DOJ
Bitcoin’s Exchange Supply Falls as ‘Uptober’ Builds Strength
Bitcoin Eyes Pump—Job Growth Hints at November Fed Cut
Web3 Watch: Lamborghinis are coming to the metaverse
Plus, Ubisoft is launching NFTs for its Captain Laserhawk shooter game