Key Points
- FET’s bullish on-chain metrics and potential breakout could drive a significant price surge.
- Despite bearish market sentiment, FET has outperformed major cryptocurrencies like Bitcoin, Ethereum, and Solana.
Artificial Superintelligence [FET] is showing signs of a potential price surge. This is driven by its bullish on-chain metrics and the possibility of a breakout.
Despite the prevailing bearish sentiment in the market, FET has managed to surge by over 28% in the past four days. This performance surpasses major cryptocurrencies such as Bitcoin [BTC], Ethereum [ETH], and Solana [SOL].
Trading Above the 200 EMA
A look at TradingView reveals that FET’s fortunes seem bullish at the moment. This is because it is trading above the 200 Exponential Moving Average (EMA) on a daily time frame. Investors and traders often use this indicator to determine whether an asset is in an uptrend or a downtrend.
However, FET is also facing strong resistance near the $1.5 level. Since July 2024, FET has experienced selling pressure whenever it has reached this level. But the current sentiment around FET seems different as investor interest appears to be continuously increasing.
The historical price momentum suggests that if FET closes a daily candle above the $1.5 level, it could potentially soar by 26% to the $1.95 level or even higher.
On-Chain Data Supports Bullish Outlook
FET’s bullish outlook is further backed by on-chain metrics. Coinglass’s FET Long/Short ratio was 1.03 at press time, indicating bullish market sentiment. A value above 1 means more traders are betting on FET’s price rise.
In addition, its Futures Open Interest has skyrocketed by 25% in the last 24 hours and has been continuously increasing since the 6th of September. This combination of rising Futures Open Interest and a Long/Short Ratio above 1 presents a potential buying opportunity. Traders and investors often use this setup to build their long or short positions.
At the time of writing, FET was trading near the $1.40 level, after a price surge of over 8% in the last 24 hours. Its trading volume has also skyrocketed by 40% during the same period, indicating higher participation from traders amid the ongoing price recovery.
