Fantom’s Breakout Potential Supported by On-Chain Metrics and Technical Analysis

Symmetrical Triangle Pattern Points to Potential Breakout

Fantom’s price action is currently forming a symmetrical triangle pattern, indicating a possible breakout in the near future. This pattern suggests a significant move is on the horizon, with $0.93 as a key resistance level to watch. Breaking this resistance could pave the way for further upward movement, potentially targeting $1.20 based on past price action.

Technical Indicators Signal Bullish Momentum

The price volume trend (PVT) shows steady growth, indicating increasing buying interest in FTM. This underlying bullish sentiment may support a breakout, especially if accompanied by a spike in trading volume. However, without substantial volume, the breakout could struggle to sustain momentum.

On-Chain Metrics Reflect Bullish Outlook with Caution

On-chain metrics for Fantom are largely positive, with net network growth, in-the-money addresses, large transactions, and concentration among whales all signaling a bullish sentiment. However, the price-daily active addresses (DAA) divergence raises caution, suggesting that price movement may outpace network activity growth.

Market Sentiment and Open Interest Indicate Cautious Optimism

The Open Interest for FTM Futures has slightly decreased, indicating caution among traders. This hesitancy could impact FTM’s ability to sustain a breakout. While the overall outlook is mixed, a confirmed breakout above $0.93 is essential for further gains.

Conclusion

FTM’s potential breakout is supported by technical patterns and on-chain metrics, but caution is advised due to low daily active address growth and declining Open Interest. A breakthrough above $0.93 is crucial for validating continued upward momentum. Without this, FTM may remain within its current consolidation range.