Fantom (FTM) Sees Impressive Surge While Rest of Market Dips
It would seem that Fantom (FTM) hodlers have developed a Zen mindset and are unfazed by market corrections, FUD, or negative news. Despite the overall downturn in the crypto market, Fantom has experienced a remarkable spike in value.
Introduction to Fantom
Launched in 2018, Fantom is a Layer 1 blockchain platform that aims to compete with Ethereum. It utilizes the Lachesis Protocol, a single consensus layer, to support the creation of multiple execution chains. This architecture provides scalability and high throughput for decentralized applications (dApps) and smart contracts.
Fantomโs Stellar Performance
The FTM token has been the best performing token among the top 100 cryptocurrencies by market capitalization. In the last 24 hours alone, it has experienced a significant 13.7% increase in value. This stands in stark contrast to the majority of tokens in the market, with 87 out of the top 100 seeing a downturn.
Just yesterday, nearly 90% of tokens were registering gains. However, today tells a different story, with only 13 tokens showing positive growth. Among these, Fantom stands out as the leader, surging from $1.04 to $1.18 within a day. This upward trajectory is not an isolated event; the coin has seen a substantial 55.6% increase in value over the past week.
The Worst Performer: PEPE Meme Coin
In contrast to Fantomโs success, the meme coin PEPE has been the worst performer among the top 100 tokens. It has experienced an 11.6% drop in value over the past 24 hours and a 17% decline over the past week. This serves as a reminder of the extreme volatility of meme coins, which can quickly shift from being top performers to underperformers in the crypto market.
Anticipation for Fantomโs Network Upgrade
Fantomโs bullish run may be attributed to the anticipation surrounding its upcoming network upgrade, known as Sonic. This upgrade is set to transition from testnet to mainnet in the spring of 2024 and is expected to significantly improve transaction processing speeds. Currently, Fantomโs existing mainnet, Opera, has a throughput of just 3.2 transactions per second. The Sonic upgrade aims to revolutionize the networkโs efficiency and attract more developers to the platform.
The upcoming network upgrade is not the only development driving excitement around Fantom. The introduction of the Fantom Virtual Machine (FVM) has also caught the attention of investors and enthusiasts. The FVM will allow developers to smoothly transition their Ethereum Virtual Machine (EVM) code into Fantomโs native format, resulting in faster execution times. This increased compatibility with Ethereum could lead to greater adoption of the Fantom platform and further boost its performance.
Technical Analysis of FTM
From a technical perspective, FTM has been on a bullish streak since late January, defying the corrections experienced by other major cryptocurrencies like Bitcoin and Ethereum. The price chart shows consistent growth, with no signs of correction throughout the year. The gap between the EMA10 and EMA55 indicates rapid growth, and the relative strength index (RSI) suggests a buying frenzy in the market.
Currently, FTM is testing a pressure zone between $1 and $1.10, which previously served as a strong support level between September 2021 and April 2022. This is the first time since then that the coin has reached such high prices. If FTM fails to break through this resistance, it may correct to a lower point on the chart, with immediate support around $0.90. However, if it maintains its bullish momentum and surpasses the resistance, the next target could be around the $1.5 area.
Hot Take: Fantom Shines Amidst Market Downturn
Fantomโs impressive surge in value while the rest of the market dips highlights its resilience and potential for growth. With anticipation for its network upgrade and the introduction of the Fantom Virtual Machine, Fantom has positioned itself as a strong contender in the blockchain space.
While meme coins like PEPE demonstrate the volatility inherent in this sector, Fantomโs performance showcases its stability and attractiveness to investors. As always, itโs important to conduct thorough research and consider market conditions before making any investment decisions.
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