Fantom (FTM) Price Prediction: Can FTM Correct By 33% Next?

Fantom (FTM) price is down over 12% in the last 24 hours as the network transitions to its new token, Sonic.

As Fantom (FTM) transitions to its new token, a technical analysis reveals critical insights into the coin's ongoing downtrend and the dwindling participation of whale wallets.

FTM price has dropped over 12% in the last 24 hours, intensifying the coin's downtrend. This decline is evident on the 12-hour chart, where the ADX (Average Directional Index) has surged to 39.94, indicating strengthening bearish momentum.

To assess the strength of a trend, the ADX uses a scale from 0 to 100, where values below 20 denote a weak or directionless trend, values between 20 and 40 indicate a moderate trend, and values above 40 reflect a strong trend.

As FTM's ADX approaches 40 while the price is in a downtrend, it suggests sustained selling pressure. In the short term, unless significant buying interest emerges, FTM price is likely to face continued declines, with traders closely monitoring support levels for potential stabilization.

The number of whale wallets holding between 1 million and 10 million FTM has dropped to 77, marking its lowest level since December 1. Tracking these wallets is crucial because they can significantly influence the market due to the large volume of tokens they control. Changes in the number of these wallets often reflect shifts in sentiment among major holders, which can precede notable price movements.

This number of whales reached a month-high of 81 on December 6 but has gradually decreased since, without any major token dumps being observed. This trend could indicate a lack of enthusiasm among large holders to accumulate FTM at current price levels.

In the short term, this might signal underlying weakness for Fantom, as declining whale participation often aligns with lower buying support and potential price stagnation or further declines.