FTM Technical Analysis: Downtrend Breaks Another Bottom

Key technical points:

Past Performance of FTM

FTM price fails to overcome the selling at the merged 50 and 100-day EMA and the resistance trendline. The rejection gains momentum as it falls 35% last week and breaks below the 200-day EMA. Moreover, the 16% overnight fall creates a bearish engulfing candle that breaks below the previous bottom formed at the emotional barrier of $1.50. 

Source-Tradingview

FTM Technical Analysis 

FTM prices showcase a rise in selling pressure with the engulfing candle and the breakout of multiple support levels over the last week. Hence, the downtrend may shortly reach the $1.25 mark.

With the entry of new sellers, the 50 and 100-day provide dynamic resistance to the bullish attempts. Moreover, the 200-day EMA fallout increases the overall bearish sentiment for Fantom.

RSI Indicator: The RSI slope breaks below the 14-day SMA after it fails to sustain above the 50% mark. However, the bullish divergence is evident in the last two dips indicating a possible reversal at $1.25.

Stochastic RSI Indicator: The K and D lines continue the freefall after failing to sustain in the overbought zone. Hence, the ongoing bear cycle may shortly result in a new bottom creation at $1.25.

In a nutshell, FTM technical analysis warns the possibility of a death cross as the selling pressure increases. 

Upcoming Trend

As sellers regain solid momentum, the FTM coin price will struggle to find a bullish reversal before reaching the $1.25 mark. Therefore, sellers can find an entry at current prices with a target of almost 10% downfall. 

However, a bullish reversal possibility from the $1.25 will provide a strong stand against the ongoing downtrend.

Support Levels: $1.25 and $1

Resistance Levels: $1.55 and $1.78