Bearish signals for bullish coin FTM
Fantom is truly my favorite coin with 1600x run from the 2020 Covid lows. In March 2020 the Market Cap was some 4.7m (#380), now some 7.2b (#32). That is absolutely amazing.
But how much upside potential is there left? Honestly, I do not know. In this case, it is wise to be aware of the chart signals and be reactive for whatever price action.
First of all, there is a strong dynamic resistance that FTM has not been able to overtake. Thats the higher highs’ trendline that the price action rejected a week ago.
Secondly, there is bearish divergence seen on the RSI and other indicators since early September indicating potential reversal of the price action.
Thirdly, there is a bearish rising wedge from which the price already broke down.
All this resembles the situation in early March. The indicator in the lowest panel, Phoenix Ascending, presents a more or less identical pattern to the present situation. The lines in this 3d TF are heading towards the zone below 50, but they are not there yet. If it plays out like it did between March and May the price would first retrace and then pump to a new higher high (ATH), and after that start retracing again. I see that price pattern (copied over as extension from the present) as one plausible scenario.
I will be observing the price action from the sidelines in the near future, being ready to jump in if necessary.
Trade with caution, take care
Cheers
Whoop
But how much upside potential is there left? Honestly, I do not know. In this case, it is wise to be aware of the chart signals and be reactive for whatever price action.
First of all, there is a strong dynamic resistance that FTM has not been able to overtake. Thats the higher highs’ trendline that the price action rejected a week ago.
Secondly, there is bearish divergence seen on the RSI and other indicators since early September indicating potential reversal of the price action.
Thirdly, there is a bearish rising wedge from which the price already broke down.
All this resembles the situation in early March. The indicator in the lowest panel, Phoenix Ascending, presents a more or less identical pattern to the present situation. The lines in this 3d TF are heading towards the zone below 50, but they are not there yet. If it plays out like it did between March and May the price would first retrace and then pump to a new higher high (ATH), and after that start retracing again. I see that price pattern (copied over as extension from the present) as one plausible scenario.
I will be observing the price action from the sidelines in the near future, being ready to jump in if necessary.
Trade with caution, take care
Cheers
Whoop
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