A popular crypto analyst says the fundamentals of one mid-cap Ethereum competitor remain well-intact despite the project’s recent price pullback.
Pseudonymous Coin Bureau host, Guy, tells his 1.98 million YouTube subscribers that Fantom (FTM) “still has lots of fuel left in the tank” despite a price crash coinciding with the departure of renowned decentralized finance (DeFi) developer Andre Cronje from the project.
According to the analyst, Fantom’s on-chain fundamentals may be strong enough to help the altcoin hold onto a long-term level of support.
“As I shoot this video, it’s down almost 3x from its all-time high, and I see a nasty double-top pattern on the long-term price charts. You don’t want to know where the target is if that pattern breaks to the downside, believe me.
Before you panic, though, take a moment to consider the fact that Fantom’s fundamentals are still looking extremely strong. For starters, all the FTM allocated to the team and early investors finished vesting in late 2020 and chances are they’ve already sold a substantial amount of that FTM. This is good because it means there will be less FTM for them to sell in the future and therefore less price suppression they can cause.”
Guy also says that the adoption and use of Fantom continue to be on an uptrend.
“Fantom has over 2.5 million unique wallet addresses. And this trend doesn’t seem to be slowing down.
An even more important on-chain metric is the number of daily transactions which has taken a bit of a nosedive but nonetheless remains in a strong long-term uptrend.
In terms of total value locked, Fantom has seen some slowdown on that side as well but is likewise in a long-term uptrend.”
According to the Coin Bureau host, another reason to be bullish is that FTM could, in the near future, become available to a wider number of users and investors.
“FTM’s recent listing on Binance US also suggests that it could be listing on other American exchanges, which would result in even more investment.”
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Featured Image: Shutterstock/camilkuo/Natalia Siiatovskaia