- Filecoin’s surge over the past 24 hours may be tied to its TVL, which has neared $100 million in the last seven days.
- Traders on Binance and OKX appear highly optimistic about FIL, opening numerous long positions in anticipation of price increases.
Over just the last day, the price of Filecoin (FIL) has risen by a notable 10.35%. Even more significantly, over the past seven days, it has seen an impressive increase of 22.82%.
The market’s general feeling is leaning towards more expansion for FIL, but it must surpass a significant barrier to keep its positive trend going.
Growing TVL could drive further growth
The amount of value locked in Filecoin has experienced a substantial surge during the last week, climbing up from $67.17 million on December 31, 2024, to approximately $92.91 million as we speak now.
The TVL (Total Value Locked) refers to the overall sum of tokens that are stored, pledged, or secured within Filecoin’s systems. A significant increase in TVL is typically followed by a positive trend in the asset’s price – potentially implying an upward shift for this specific case.
When FIL nears the symbolic $100 million Total Value Locked (TVL) mark, exceeding this level might spark a substantial investment influx, which could lead to considerable increases in the asset’s worth.
Meanwhile, AMBCrypto’s analysis of current trader sentiment revealed a bullish outlook for FIL.
Binance and OKX traders fuel FIL’s rally
According to data from Coinglass, it appears that traders on Binance and OKX have grown increasingly optimistic about Filecoin (FIL), as suggested by a substantial rise in the number of accounts wagering on this asset. This bullish sentiment is reflected in the high Long-to-Short ratio.
As an analyst, I utilize the Long-to-Short ratio to determine the balance between my long positions, which are bets I make anticipating a rise in an asset’s price, and my short positions, or the bets I place expecting a decline in the same asset’s price. This ratio offers valuable insights into market sentiment and potential price movements.
In simpler terms, when a ratio is more than 1, it usually means the market is optimistic or ‘bullish’. Conversely, if the ratio is less than 1, it often suggests the market is pessimistic or ‘bearish’.
As I’m typing this, the Long-to-Short ratio for Binance and OKX accounts stands at 2.72 and 2.64 respectively, indicating that most traders on these platforms anticipate Further Increase in the price of FIL.
As a researcher, I’ve observed that this factor has significantly contributed to the recent surge in prices. It may continue to drive price growth and potentially impede any market downturns.
Will more long bets follow?
Over the past day, the number of outstanding contracts for a particular asset (known as Open Interest) has significantly increased by approximately 21.1%.
A surge in Open Interest typically indicates that more contracts are being opened.
On the other hand, the significant increase in trading volume (over 200%, reaching $732.45 million) and the parallel upward trend in prices indicate a growing optimism among market participants, suggesting a more bullish market outlook.
In other words, traders are not just increasing their number of open trades, but they’re also pushing the price up, which strengthens the optimistic view or expectation that the market will rise further.
If the Open Interest keeps increasing, it’s probable that Filecoin’s (FIL) price will also rise, possibly igniting a prolonged uptrend within the next few days, and potentially surpassing a significant resistance level.
Read Filecoin’s [FIL] Price Prediction 2025–2026
On the 1-week chart, FIL shows signs of a bullish continuation.
Should these optimistic indicators persist and the value surpass the $6.97 barrier, which signifies the peak of its prolonged consolidation, Filecoin (FIL) might experience a growth of approximately 143.37% and reach trading levels around $16.79.
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2025-01-07 00:39