FartCoin (FART) has dropped over 8% in a day, encountering resistance at $1.09. A liquidity zone at $0.73 could act as a potential reversal base if support holds. Stay tuned for a detailed breakdown and analysis.
The zone between $0.69 and $0.73 represents an important support conglomerate for Fartcoin, with strong liquidity, according to the Volume Profile Order Blocks. This level also corresponds to the last significant liquidity zone according to the VPFR on higher timeframes. A drop below $0.69 could force a retreat to $0.62 to $0.57.
The Fartcoin price could also bounce off the support at $0.8. However, caution is advisable when entering positions, and it’s best to wait until the price stabilizes. In the event of a bounce, Fartcoin will likely retest its liquidated trendline at $0.90, which would trigger another short-term decline.
If this liquidity purge occurs and is followed by a solid return above $0.90, it could pave the way for bullish acceleration. The next major resistance would then be at $1.60, representing the upper limit of the current range.
However, the liquidity zone between $1.29 and $1.42 could also trigger a drop, as it corresponds to a “protected high” maintained by smart money. A breakout above this zone would allow for a return to a medium-term bullish trend.
For this scenario to materialize, buyers will need to intervene aggressively once the liquidity has been absorbed. Volume inflows will be essential to validate the reversal. Without them, prolonged consolidation or a breakdown to lower supports remains a risk.
Additionally, it’s wise to observe the daily RSI. A daily RSI in the oversold zone would be a good indicator for entering with a DCA strategy and accumulating FARTCOIN. For now, the risk/reward ratio is still not advantageous enough.
From a structural perspective, the market is still within its broader range. A return to previous highs is possible if support holds and a reversal pattern forms on lower timeframes.
Watch for a liquidity purge towards $0.73 followed by a recovery above $0.9. This could open the path to $1.20-1.3. Failure to hold $0.70 risks breaking the structure of the current range.
Here’s a guide to accumulate FARTCOIN in the best support zones :
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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