The cryptocurrency market is showing signs of recovery, with Bitcoin (BTC) bouncing back from its recent low of $76K to its current level around $84K. Altcoins such as Filecoin (FIL) and Artificial Superintelligence Alliance (FET) have taken a significant hit over the past three months, following a steep decline since the late 2024 highs.
Filecoin (FIL) Analysis
Since peaking at $8.43 on December 4, Filecoin has plunged over 70%, eventually bottoming out at $2.44 on March 11. However, this level seems to have sparked a bounce. Currently, FIL is trading around $2.86, moving closer to the upper resistance of its falling wedge pattern on the daily chart. A successful breakout above this resistance, followed by a retest, could open the door to the next key zone at $3.62, which also aligns with the 50-day moving average (MA). If the bullish momentum continues, FIL could potentially rally toward the 100-day MA and the $4.95 level, representing nearly 70% gains from current levels.
FET (Artificial Superintelligence Alliance) Analysis
FET has followed a similar path. After topping out at $2.19 on December 6, the token experienced an even sharper decline, dropping 80% to a low of $0.42 on March 11. But just like FIL, FET found support and started to recover. Currently, FET has climbed to above $0.51, inching closer to the upper resistance of its falling wedge pattern. A breakout here, confirmed by a solid retest, could push FET toward the $0.83 resistance zone, which also coincides with its 50-day MA. If bulls take control, the next major target would be $1.08, around the 100-day MA, representing a potential 108% upside from current prices.
Can a Breakout Trigger a Wider Recovery?
Both FIL and FET are at a crucial turning point. Falling wedge formations are considered strong reversal indicators, but only if the breakout is confirmed with good volume and follow-through. If these tokens manage to break their respective resistances, we could see strong rallies not just in these two coins but possibly across a broader range of altcoins. However, keep in mind that overall market sentiment, Ethereum’s price movement, and macroeconomic factors will all play a role in sustaining any recovery.
The crypto market is showing signs of resilience, but sustained growth requires confirmed breakouts and a favorable macroeconomic environment.
