FET rally not over despite $1.6M whale sell-off: Here’s why

As a seasoned crypto investor with a knack for identifying promising projects and navigating market trends, I must admit, the recent performance of Artificial Superintelligence Alliance [FET] has caught my attention. After climbing to a three-month high of $1.72 on September 25th, it’s clear that FET is outperforming most cryptocurrencies in the market.

The Artificial Superintelligence Alliance (FET) has surpassed many cryptocurrencies as it reached a three-month peak of $1.72 on the 25th of September.

Over the past week, the market value of FET (Fantom) has risen significantly, climbing up from approximately $3.8 billion to roughly $4.3 billion, according to CoinMarketCap.

At the moment of reporting, FET had moved back a bit, trading at around $1.68. Given its recent upward trend, certain investors may consider taking profits on their holdings.

According to SpotOnChain, the digital asset trading firm DWF Labs transferred 1 million FET tokens, worth approximately $1.68 million, into Binance. Currently, this organization retains ownership of 9 million FET tokens.

In the midst of this downturn for whales, is Fantom (FET) exhibiting indications of a trend shift towards recovery, or will its upward trajectory persist?

FET technical analysis

Over the past period, the FET token has been exhibiting an increasing triangle structure in its price movement, where it’s encountering robust resistance around the $1.73 mark. Since June, the token’s trades have consistently remained beneath this resistance level.

According to the volume profile analysis, it appears that fewer investors are active or showing interest in FET trading at this specific price point. This lack of activity might be the reason behind the unsuccessful breakout attempts observed over the past few days.

This breakout will occur if there are new buy orders.

Based on the current trend, it seems that buyers are in control, as indicated by the Positive Chaikin Money Flow (CMF).

For the last seven days, the CMF has been forming successively higher peaks, but it’s now horizontal, indicating a potential slowdown in the upward trend. This could signal a possible weakening of the current uptrend.

In simpler terms, the MACD line, which indicates a bullish trend, continues to stay above its signal line. Yet, there’s a potential sign of a bearish trend appearing in the MACD bars’ graph.

A look at derivatives data

According to AMBCrypto’s examination, opinions about FET within the derivatives market seem divided. The data indicates a slight decrease in open interest and trading volumes, which suggests a decline in the number of active traders initiating trades or opening fresh positions.

The recent decline might be due to approximately $440,000 worth of long positions being closed over the past day. Moreover, the current long/short ratio indicates a slight preference for short positions in the market, as it stands at 0.92.

On Binance, the number of long positions slightly exceeds short ones, suggesting that certain traders are still optimistic about a continued upward trend.

FET’s MVRV ratio

Data from Glassnode shows that FET’s Market Value to Realized Value (MVRV) ratio has been above 1 over the past week, suggesting that the average FET holder is in profit.

Read Artificial Superintelligence Alliance’s [FET] Price Prediction 2024–2025

Currently, the MVRV ratio for the token is 1.22, indicating that investors have earned approximately a 22% profit on their investment.

Furthermore, the MVRV ratio hasn’t yet spiked to high profit zones, indicating potential for further expansion.

2024-09-26 15:36

FET technical analysis

A look at derivatives data

FET’s MVRV ratio

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