In yesterday’s trading session, Filecoin closed the market trading at $5.5 after dropping 7 per cent of its value. However, today’s session has the resumption of the current bullish trend that started six days ago and has resulted in 18 per cent market gains.
Throughout this month, the Filecoin price has been in a strong bearish move that has resulted in a drop of 28 per cent. The trend has been a continuation of the previous few months, which saw the cryptocurrency drop by 43 per cent in May and 41 per cent in April. Data also shows that the year-to-date price drop of Filecoin is over 80 per cent.
Despite the drop in the past few months, the Filecoin project has continued to grow and engage in long-term partnerships. Late last month, the company entered a partnership with Lockheed Martin that would see it develop data storage in space. According to the agreements, the two companies would engage in creating a data system for the future with an interplanetary file system in space.
Looking at the daily chart below, the Filecoin price has failed to break out of the $6.8 long-term resistance level for the past two weeks. Despite hitting the $5.12 support level multiple times, the prices have also failed to break out to the downside. Therefore, the trend has been sideways for two weeks.
Using the chart, it is clear, based on the past few weeks’ trading sessions, that the prices are likely to continue trading sessions. My Filecoin price prediction, however, expects the prices to hit the $6.8 resistance level and fail to break to the upside.
However, if the prices hit either the support or the resistance and break out of the trading structure, my trade analysis will be invalidated. It will also mean a likely new trend has been established.
This post was last modified on Jun 23, 2022, 17:46 BST 17:46