- Technical Analysis: Descending Broadening Wedge
- Fantom (FTM) Price Targets
- Consolidation in the $0.50 - $0.56 Range
Fantom (FTM) price increased by 15% over the past week and is now trading around $0.50. Defying the broader crypto market downturn, FTM has pumped by 3.5% in the last 24 hours.
Technical Analysis: Descending Broadening Wedge
The FTM chart shows that the token has been trading within a descending broadening wedge pattern, which is a bullish continuation setup. This structure is characterized by two diverging trend lines, with the price action forming lower highs and lower lows. Typically, this pattern signifies volatility, and when the price breaks out of the wedge, it often leads to a strong upward move. Currently, the FTM price is testing a key resistance zone around $0.50 – $0.56, which corresponds to a region it has struggled to break above in previous attempts, notably in July. For a confirmed breakout, the price needs to clear this resistance zone and the upper line of the wedge.
Fantom (FTM) Price Targets
The trader suggests that once the price breaks out of the wedge and clears the resistance zone, the next target for Fantom could be $1 or higher. This is a reasonable target, considering the measured move from the wedge’s breakout could push the price to previous highs around $1. The upward projection on the chart indicates a bullish trajectory, suggesting a significant move upward once consolidation within the wedge completes.
Consolidation in the $0.50 - $0.56 Range
FTM has been consolidating in the $0.50 – $0.56 range for some time. This consolidation within the wedge pattern is typical before a breakout. The recent 3% daily pump and 15% weekly increase indicate that bullish momentum might be building. The combination of the descending broadening wedge and resistance at $0.56 suggests that if FTM can break out of the wedge with strong volume, it could initiate a significant bullish move. Immediate resistance lies at $0.56, which is both the upper trendline and horizontal resistance. If broken, the breakout target of $1 or higher aligns with historical price levels and measured move projections.
The rise in the price of Fantom (FTM) amidst the general downturn in the cryptocurrency market shows the potential strength of this asset. Breaking key resistance levels could lead to further significant increases, reaching $1 and beyond.
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