The cryptocurrency market is consolidating after yesterday’s bullish ride. Filecoin (FIL), a decentralized storage blockchain based on IPFS has ticked higher since Sept. 3, rallying nearly 58%. At the time of post, FIL was exchanging at $108.72, up 22.70% in the last 24 hours and 59.13% weekly. Ranking 18th largest, Filecoin’s market capitalization sits at $11.82 billion. Collin Wu, @WuBlockchain noted that the computing power of Filecoin recently notched new highs, Stating: ”Filecoin get benefits from the NFTs fever. Filecoin’s computing power has exceeded 10EiB, and the price has risen from $40 in July to the highest of $82. This may be related to the recent NFT boom.” In May, Filecoin announced a free service called NFT. Storage for NFT creators to store their NFTs and any corresponding metadata on Filecoin. Lots of NFT projects are reportedly starting to host their JPEGs on IPFS because it is more decentralized.
Key Levels
Resistance Levels: 160.71, 135.60, 120.00
Support Levels: $90.36, $74.89, $52.87
FIL/USD Daily ChartFilecoin started the new month on a positive note, propelling its two-day bullish run to highs of $120.30, last seen since Late May. The FIL/USD is currently seeing near-term profit-taking, marking lows of $107.19 today. The steep upside move in the RSI signaled some caution as the indicator reached the overbought area. The Sept. 5 high at $120.30 is currently under the spotlight.
A decisive close above this level could see a continuation towards the $165 and $195.55 levels. An upside break above here may open the door for the April all-time highs of $237.72. Alternatively, if selling extends beneath the $100 round number, the Moving averages 50 and 200 at $66.60 and $86.43 respectively could add some footing. Beneath here, the FIL/USD pair could create a new lower low beneath $40.97.
FIL/USD 4-Hour ChartThe FIL/USD resuscitated a positive climb above the MA 50 at $77.03 on Sept. 4. Currently, the price is consolidating after fading from its highs of $120.30 and is currently tackling the $107 barrier. In case of further declines, the first line of support may be found at $100 and the MA 50, currently at $83.57. A decisive break below here could open the door for a test of the MA 200 at $73.78.
On the flip side, a rebound in the market may encounter immediate resistance near the $120.30 high, with an upside break paving the way for a retest of the $170 high ahead of the $200 range. Overall, the pullback so far looks like corrective action as the RSI hovers above the 60 marks. Therefore, as long as this latest decline remains limited above the $107 low, it might be treated as a corrective phase.
Note: Kryptomoney.com is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results
Image Credit: Shutterstock
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
