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FTM Technical Analysis: Psychological Barrier Brings 10% Reversal

source-logo  cryptoknowmics.com 28 February 2022 08:01, UTC

FTM coin price shows a post-retest reversal from the 200-day EMA resulting in a freefall of more than 10% overnight. Will this reversal reach $1.20?

Key technical points:

  • The 50 and 100-day EMA give a bearish crossover
  • The RSI slope struggles at the 14-day average
  • The 24-hour trading volume in the Fantom token is $1.09 Billion, indicating a 5% rise. 

Past Performance of FTM

The lower price rejection from $1.20 promoted the underlying bullish trend momentum growth, resulting in an engulfing candlestick as a follow-through. The short but sharp recovery of 17% in FTM prices surpassed the 200-day EMA but failed to close above it. Leading to a higher price rejection, the rejection drove the prices down by 10% within a day.  TradingView Chart Source-Tradingview

FTM Technical Analysis 

The FTM coin price action forms an evening star pattern representing the reversal from 200-day EMA. Hence, the increased bearish momentum indicates a downfall to the $1.2 mark if the prices give closing below the $1.5 mark. Downfall in the Fantom coin price brings the crucial EMAs- 50 and 100 giving a bearish crossover. Moreover, the psychological barrier of the 200-day EMA brings the bearish reversal and increases selling pressure. The DMI indicator shows a massive gap between the DI lines with a negative formation indicating a definite bearish trend. Additionally, the rising ADX line suggests a boom in trend momentum. Hence, a downfall to the $1.20 is plausible.  The RSI Indicator slope shows a sideways trend after the bearish downfall indicating an active selling after the retest. The RSI slope reaches the 14-day SMA as it fails to sustain above it.  In a nutshell, the FTM technical analysis reflects a downfall continuation to the $1 mark if the sellers overtake the $1.2 threshold.

Upcoming Trend

The FTM coin price shows a continuation in the lower high formation after the fallout retest of $1.85. Hence, traders can find selling opportunities at the current prices with a primary target of $1.2 followed by $1. Support Levels: $1.20 and $1.50 Resistance Levels: $1.85 and $2.00

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