Filecoin Price Prediction: Stuck In The Middle With You

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Written By: Elliott Laybourne
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    Summary:
  • The Filecoin price continues to trade within a narrowing sideways range, but at some stage, that will change and is likely to bring a big move.

The Filecoin price continues to trade within a narrowing sideways range, but at some stage, that will change and is likely to bring a big move.

During the early April bull run, the Filecoin price got to the dizzy heights of $236.0000. The 1000% rally in the first 4 months of 2021 sent the coin flying up the crypto market cap charts.

Since the peak, the coin has given back -40%, and the Filecoin price is currently $144.7200 and struggling to find direction.

The price may have close to halved from the top. Nonetheless, the coin that was only listed on Coinbase in December has achieved a market cap of over $10 Billion in that short time.

Filecoin Price Outlook

Looking at the 4-hour chart, we see that Filecoin has been trading in a volatile trading band since peaking on the 1st of April. I’m sure there is a joke in there about fools paying the top, but I’ll leave it.

When a market experiences a narrowing range and decreasing volatility, it usually precedes a breakout.

Presently, the Filecoin price is capped on the upside by an ascending trend line at $160.0000 from the April 16th high.

Supporting the price is an ascending trend line which sits at $136.000. This links the 28th of March low with a series of lows in April.

Until the market can break out of this formation, the likeliest scenario is sideways. But when it breaks, I expect to see a material move.

If the price breaks to the upside, there is the potential for a 20% increase to $192.6400. This was the highest point achieved on the 14th of April.

The downside break would offer traders slightly more value as there is potential for a 27% decline.

This would see the Filecoin price back to its previous all-time high of $89.87500 from March the 18th.

For the moment, traders should keep a close eye on the market to jump on momentum when it comes.

Filecoin Daily Chart

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Written By: Elliott Laybourne

Elliott Laybourne is an accomplished Hedge Fund sales and Investment bank trading specialist. Elliott also started a successful Base Metals Brokerage business in partnership with ABN AMRO clearing bank. He worked on the open outcry trading floors at the London International Financial Futures Exchange 'LIFFE' and the London Metal Exchange 'LME.' He also provided research and execution services for Goldman Sachs, JP Morgan, Credit Suisse, Schroders Asset Management, and Pennsylvania State Public School Employees Retirement System, as amongst others. Today, he focuses on providing trading consultancy and business development services for family office and brokerage clientele.

Published by
Written By: Elliott Laybourne