FTM’s price is showing signs of a potential breakout as traders closely watch a critical resistance level. Popular trader Jacob Canfield shared on X his technical analysis, indicating that FTM could enter price discovery mode if it clears a key hurdle. The timing aligns with the $SONIC launch, which adds further momentum to the bullish setup.
What you'll learn 👉
Fantom Chart Analysis: Key Resistance at Bearish Impulse Base
FTM’s price chart reveals a strong resistance zone marked by a bearish impulse base. This zone has previously rejected upward attempts, highlighting consistent selling pressure. A red horizontal box outlines this area where sellers have defended their positions in multiple instances.
Despite these rejections, the current trend shows higher lows forming as buyers gradually gain control. This upward trajectory suggests increasing demand and building momentum near the resistance level. The resistance box now serves as a critical area that traders are monitoring for confirmation of a breakout. A close above this zone in the 4-hour timeframe could trigger accelerated buying and initiate price discovery.
Strong Support and Liquidity Sweep
The chart also highlights a notable support zone at the base of a prior bullish impulse. This area, marked in green, represents a liquidity sweep where stop losses were likely cleared before the FTM price reversed upward. The liquidity sweep signaled strong buying interest and established a firm demand zone.
Since this reversal, the market has shown consistent bullish pressure, with price consolidating near the resistance. Consolidation often indicates indecision but can act as a precursor to a breakout. This setup reflects traders’ confidence in the potential for upward continuation once resistance is breached.
Read also: Crypto Expert Calls This XRP Chart ‘Insanely Bullish’ – Here’s Why XRP Price Could Surge Soon
The Role of $SONIC Launch as a Catalyst
Jacob Canfield pointed out that the $SONIC launch coincides with FTM’s current price setup. Such external events often act as catalysts, increasing buying activity and positive sentiment around the token. Market participants appear optimistic about the potential synergies between the $SONIC launch and FTM’s technical position.
As the token approaches this critical juncture, traders await a decisive 4-hour candle close above the bearish impulse base. A breakout at this level could lead to swift price discovery, driving FTM toward uncharted territory with minimal resistance.
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