Prominent analyst Jip Molenaar shared with his 12.8k followers on X that Fantom (FTM) price could be poised for a notable price movement. Molenaar laid out an “Easy plan, Easy trigger, Easy invalidation” strategy, hinting at a straightforward approach to capitalizing on potential price action in the FTM market.
This article examines the key support and resistance levels that could shape FTM’s price trajectory in the coming days, as well as insights from Molenaar’s trading strategy.
What you'll learn 👉
Fantom Technical Analysis: Current Trend and Key Price Levels
FTM’s recent price movements reveal a dominant downward trend, with the cryptocurrency trading near a crucial support zone. This primary support area is marked in the range of $0.515 to $0.535 and has served as a robust foundation for price reversals in the past.
Conversely, a resistance zone lies at the top, between $0.69 and $0.73, where price rallies have faced consistent rejection. This interplay between support and resistance indicates a potential bounce if the support level holds, setting up a possible rally towards the resistance zone.
As the Fantom price nears this support level, traders are watching for any signs of a reversal. A confirmed bounce from this zone could signal the beginning of a new upward movement, offering an attractive entry point for bullish traders.
Molenaar’s Simple Trading Strategy
In his tweet, Molenaar outlined a straightforward trading plan for FTM, emphasizing three key elements: an “Easy plan,” an “Easy trigger,” and “Easy invalidation.” The “Easy plan” likely involves waiting for price action to approach the support zone, where traders can then look for signals of a reversal.
The “Easy trigger” could refer to a confirmed bounce from the support area, such as a bullish candlestick pattern, indicating that the price may rally.
Read Also: Chainlink Pattern Signals Bullish Rally: Analyst Maps Path to These LINK Price Targets
The “Easy invalidation” aspect points to a stop-loss strategy, where traders would exit if the price fell below the support level. A break below $0.515 would invalidate the bullish setup, potentially leading to further declines and signaling that the support has failed to hold.
Moreover, if FTM’s price successfully rebounds from the support zone, a rally towards the upper resistance around $0.69 – $0.73 could materialize. For traders hoping to profit from a rising market, this would be a solid price recovery from current levels. However, the downtrend’s persistence, which is marked by a string of lower highs and lower lows, emphasizes how important it is to hold off on committing to long positions until a reversal has been confirmed.
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