Can Rising Inflows Propel FTM to $0.86?

Fantom’s Bullish On-Chain Metrics May Fuel Price Rally

Fantom (FTM) is gaining significant attention in the cryptocurrency market as bullish on-chain metrics indicate a potential price rally. Recent data highlights a strong confidence among long-term holders (LTHs) and a surge in exchange inflows, setting the stage for a price increase.

High Holder Confidence Among Long-Term Holders

One of the most telling metrics driving Fantom’s price potential is the proportion of addresses that have held FTM for over a year. Currently, this figure stands at 73%, reflecting robust market sentiment and confidence among long-term participants.

• Higher holder retention decreases selling pressure.
• Less volatility from long-term holders stabilizes the coin price.
• Increased confidence among investors contributes to a bullish outlook.

Historically, when a significant number of holders retain their tokens, the likelihood of selling diminishes, creating a solid foundation for price increases. Fantom’s long-term holders are generally less inclined to sell during market fluctuations, further reinforcing price stability and potentially encouraging additional buying activity.

Stablecoin Liquidity Strengthens Fantom’s Ecosystem

Currently, there is approximately $112 million worth of stablecoins locked within the Fantom ecosystem, representing 30% of its market cap. The liquidity provided by stablecoins in decentralized finance (DeFi) projects is crucial for fostering growth and attracting further investments.

This influx of liquidity positions the market for volatility and higher price targets, showcasing investor confidence in Fantom’s long-term growth prospects. The substantial amount of stablecoins locked into the network adds further weight to the bullish sentiment surrounding FTM.

Is Fantom Prepared for a Price Rally?

In addition to the robust holder sentiment, exchange inflows for Fantom have risen by over 5% in the past day. This increase reflects market participants positioning themselves for short-term opportunities, potentially leading to heightened buying activity.

With this uptick, Fantom is poised to break into new price levels. The coin recently surpassed the $0.62 resistance level, entering a consolidation phase. Given the current positive sentiment, analysts suggest that the price could rise as high as $0.86 in the near future.