Filecoin Price surges 16%; Is it the beginning of a big rally?

• Filecoin Price surges 16% on a single day and showed initial signs of bullish trend reversal.
• FIL Price managed to climb above the 50 day EMA and try to reach the 200 day EMA.
• The Filecoin crypto price recovered 72% from the recent swing low. 

Filecoin Price surges 16% on a single day and attempts to break out of the $5.00 hurdle. FIL crypto formed a bullish trend reversal pattern but the confirmation is still awaited. 

Filecoin Price recovered 72% approx from the recent swing low and succeeded to climb above the 50 day EMA. It indicates that bulls are active at lower levels and trying their best to rebound. 

However, the 200 day EMA is placed slightly higher from the current price which will act as an immediate hurdle for the bulls. 

From the past few months Filecoin Price is in a correction phase and declining by forming lower low swings. It eroded the complete returns generated in the year 2023 and disappointed the expectations of the investors. 

Well, the downfall in FIL crypto has taken halt near $3.00 and some responsive buyers showed their presence on the lower levels. Filecoin Price is trading at $4.738 with intraday rise of 15%. The 24 hour volume to market cap is 17.46%. 

The pair of FIL/BTC is trading at 0.0001547 with an intraday rise of 15.35%. The chart structure of Filecoin with the Bitcoin pair is forming a quite similar pattern like USDT pair indicates bulls are returning back to track. 

Will Filecoin Price breakout of the $5.00 hurdle?

Filecoin Price takes U-turn from the demand zone near $3.000 and the overall crypto market is also performing. It improves the market sentiment which might positively impact the price of Filecoin in coming months. 

Till FIL crypto price is sustaining above the 50 day EMA, the probability of breaking the $5.00 hurdle remains high. The next phase of rally in Filecoin will begin when buyers are able to break out of the $5.00 hurdle. 

On the other hand, If FIL Price faces rejection from $5.00 then it might retrace back to the 50 day EMA or might enter consolidation. The technical analysis suggests, The Filecoin Price is in recovery mode and seems like more recovery is pending. 

FIL Price gave the follow up momentum

FIL Price formed a bullish hammer candle in the previous week. In the current week buyers succeeded to give the follow up momentum and formed a strong bullish candle. The recent up-move looks powerful and buyers seem more aggressive as compared to sellers. 

The MACD curve is rising upward and displaying a positive crossover indicates bullish momentum might continue. The RSI at 67 sloping upward denotes the strength of bulls and more room for upside is open. 

Conclusion

Filecoin Price surges 16% and succeeds to climb above the 50 day EMA. It created a hope for the bullish trend reversal but the confirmation is still awaited. 

The technical analysis suggests, FIL Price is in recovery mode and the next phase of rally will begin after the $5.00 breakout. 

Technical levels

Resistance levels: $5.000 and $6.400

Support levels: $3.000 and $2.400

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.