- Fantom price recently experienced massive selling due to the FUD following the exit of two figureheads.
- Clarification has reduced the FUD effect, but FTM remains off of its highs.
- A major retest of the $2 value area is likely in the coming weeks.
Fantom price is showing signs of recovery after some massive selling pressure over the past two weeks. Andre Cronje and Anton Nell's departure triggered an article (now retracted and deleted), citing some shady dealings with the former Fantom team members.
Fantom price crash a boon to long term investors
Fantom price may soon get a boost as the FUD disappears. On March 11, the
Fantom Foundation addressed the departure of Cronje and Nell, along with false claims made by ‘Rekt.’ However, the announcement has not resulted in any immediate buying pressure. On the contrary, since the March 11 announcement Fantom made new 2022 lows near the $1 value area.
Fantom price is overwhelmingly attractive for a long entry. The current weekly chart shows incredible bullish reversal signals. First is the immediate buying pressure off the top of the Ichimoku Cloud, followed by the developing weekly candlestick with bullish overtones. The gaps between the bodies of the weekly candlesticks and the Tenkan-Sen are massive, suggesting the market is out of equilibrium and may experience a violent mean reversion higher.
The oscillators on the weekly Ichimoku chart point to a big rally. The Composite Index has hit new all-time lows, while the Optex Bands are now the lowest since December 2020. On the other hand, the Relative Strenght Index remains in bull market conditions and appears to have bounced off the last oversold level at 40.
FTM/USDT Weekly Ichimoku Kinko Hyo Chart
A return to the $2 value area is extremely likely but could expand higher to test the Tenkan-Sen and Kijun-Sen at $2.33. Downside risks are likely limited to the bottom of the Ichimoku Cloud (Senkou Span B) at $1.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.