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Filecoin price analysis: FIL/USD to break below the $30 soon

www.cryptopolitan.com 07 January 2022 10:07, UTC
Reading time: ~3 m

  • Filecoin price analysis is bearish today.
  • FIL/USD is currently trading at $30.
  • Resistance is found at $37.4.

Today, the Filecoin price analysis is bearish as the FIL rate has fallen to a new all-time low after 9 February 2021. The coin has established a lower low at $30, as the bearish trend has gained momentum since yesterday, signaling that the general trend is bearish.

The general outlook is that FIL coin price has established a lower low at $30, as the bearish trend has gained momentum since yesterday, signaling that the general trend is bearish. Resistance can be found at 37.4, and if this level manages to hold, the market will experience a small growth and attempt to reach 38.

If we look at the Fibonacci retracement, we can see that the major obstacle for the market right now is 50%. This resistance level was tested on 05 January. Still, there were not enough buyers to push prices higher than this area as profit-taking occurred as well as an influx of short positions triggered by those who had just entered into long positions before prices fell back to the $38.2 retracement area where it would fall for quite some time.

FIL/USD has been on a downtrend for a long. However, the coin was successful during the past few days as it managed to break through the 50-day moving average. However, the market was unable to hold onto those gains as bulls gave up on their positions and the selling pressure initiated a bearish trend.

The short-term outlook is also bearish as we can see that traders are attempting to form a double top pattern which means that bears may attempt to retake the $30 support level, although we can expect some support at $34-$35 levels due to the large trading volume of this pair.

Filecoin price analysis: Recent developments and further technical indications

Following the bearish strike that occurred yesterday, the 4-hour Filecoin price analysis reveals a downward breakaway, with the price swinging low towards $31 before bottoming at $32.9 today. On the other hand, Bulls have done well in recent hours, nearly catching up with yesterday’s price peak.

FIL/USD 4-hour price chart. Source: Tradingview

On the 4-hour chart, the Billinger bands are expanding while the lower band is diverting more, which is a negative indicator for the cryptocurrency since it has already reached its 11-month low. The lower limit of the indicator is at $31.5, suggesting support for FIL prices. The moving average currently trades at $33.9. Although the price has been on an upswing for many hours, it is still under pressure due to its price function being in jeopardy.

Filecoin price analysis: Conclusion

The Filecoin price analysis is bearish, but it may change soon as the price has been rising during the previous four hours. However, further gains are anticipated, albeit on an hourly basis, because the primary trend has been down and is expected to remain that way for several days.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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