bullish

Million

Fantom

Billion

Coin

Fantom price gained traction and surged after the bulls initiated a recovery from the lows. When writing, Fantom was exchanging hands at around $0.38 level, recording a positive intraday development of nearly 5%.&nbsp; 
Along with a strong rebound in the price, few on-chain metrics have recorded a notable shift in recent sessions. The investors’ sentiment seemed to improve as the OI data indicated an inflow. 
Also, the transaction volume has improved, indicating a heightened demand and increased user engagement. However, the long-term trend outlook still lies on the bearish side, adding a risk of price rejection at higher levels.&nbsp; 
Let’s analyze it and get a clear picture of the possible price trajectory.&nbsp; 
<h2 class="wp-block-heading" id="h-oi-data-reveals-a-50-inflow">OI Data Reveals A 50% Inflow</h2> 
In the 1st week of August, the Fantom price noted a sharp downturn following the broader market crash. During this period, the Open interest contracts dropped to $47 Million.&nbsp; 
The open interest contract is an on-chain metrics that monitors the number of open positions in a specific cryptocurrency contract. It also indicates the liquidity and interest in a particular crypto contract. <iframe loading="lazy" title="Santiment Chart: Total Open Interest in USD (FTM), Price (FTM)" width="800" height="425" src="https://embed.santiment.net/chart?ps=fantom&amp;pt=FTM&amp;df=2024-02-17T18%3A29%3A59.234Z&amp;dt=2024-08-17T18%3A29%3A59.234Z&amp;emcg=1&amp;emhwm=1&amp;wm=total_open_interest%3Bprice_usd&amp;wax=0%3B1&amp;wc=%23FF5B5B%3B%2326C953&amp;ws=%7B%22node%22%3A%22area%22%7D%3B" scrolling="no"></iframe> 
As per the data obtained from Santiment, the number of open contracts saw an impressive 50% growth a week. The OI data surged from $50 Million to $75 Million, indicating an improvement in the investors’ confidence.&nbsp; 
<h2 class="wp-block-heading" id="h-fantom-crypto-volume-analysis">Fantom Crypto Volume Analysis</h2> 
The volume analysis highlighted that the transaction volume has grown from $50 Million to $200 Million in a week. A strong rise in the volume indicates a heightened demand for crypto.&nbsp; <iframe loading="lazy" title="Santiment Chart: Price (FTM), Volume (FTM), Price (FTM) MA(50), Price (FTM) MA(200)" width="800" height="425" src="https://embed.santiment.net/chart?ps=fantom&amp;pt=FTM&amp;df=2024-02-17T18%3A29%3A59.234Z&amp;dt=2024-08-17T18%3A29%3A59.234Z&amp;emcg=1&amp;emhwm=1&amp;wm=price_usd%3Bvolume_usd%3B%5B2%3Bprice_usd%3BMA50%5D%3B%5B2%3Bprice_usd%3BMA200%5D&amp;wax=0%3B1&amp;wc=%2333bd5d%3B%23D2D6E7%3B%23FF5B5B%3B%23FFCB47&amp;ws=%7B%22interval%22%3A%221d%22%2C%22node%22%3A%22candle%22%7D%3B%3B%3B" scrolling="no"></iframe> 
Moreover, the volume to market capitalization was 12.9%, indicating high volatility in the crypto. With a live market capitalization of $1.07 Billion, Fantom ranks 59th in the crypto space.&nbsp; 
Fantom is a smart contract platform providing developers with decentralized finance (DeFi) services. It is an open-source platform designed as an alternative to Ethereum. Out of 3.1 Billion FTM tokens, nearly 2.8 Billion FTM tokens are currently in circulation.&nbsp; 
<h2 class="wp-block-heading" id="h-fantom-price-forecast-bulls-initiate-a-recovery">Fantom Price Forecast: Bulls Initiate a Recovery</h2> 
Moreover, the recent session has observed consistent buying from the lows, indicating the price is heading for a recovery. The increased OI data and transaction volume suggested the bulls’ domination in the short term.&nbsp; 
However, the long-term trend outlook favored a bearish side as the price lags 45% below the 200-day EMA. As of now, the <a href="https://www.thecoinrepublic.com/price-prediction/fantom/">Fantom price</a> has surpassed the 20-day EMA, suggesting a bullish outlook in the short term.&nbsp;  
<a href="https://in.tradingview.com/chart/FTMUSD/r7lFvdQg-3-Key-Reasons-Why-Fantom-May-Be-A-Good-Pick-For-Next-Week/"> </a> &nbsp; <a href="https://in.tradingview.com/u/Ritika_TCR/"> </a> &nbsp; <a href="https://in.tradingview.com/"> </a>  
Moreover, the daily chart highlighted the formation of a falling wedge pattern with the price currently established near the higher boundary. Conversely, if the price resumes its recovery above the $0.39 level, it may rise toward the next short-term target of $0.45.&nbsp; 
However, suppose the price fails to initiate a breakout of the falling wedge pattern and suffers rejection from the higher levels. In that case, it may slide towards the lower boundary of the wedge at the $0.29 level.&nbsp; 
The post <a href="https://www.thecoinrepublic.com/2024/08/18/3-key-reasons-why-fantom-could-be-a-good-pick-this-week/">3 Key Reasons Why Fantom Could Be A Good Pick This Week</a> appeared first on <a href="https://www.thecoinrepublic.com">The Coin Republic</a>.

3 Key Reasons Why Fantom Could Be A Good Pick This Week

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