Filecoin price has staged some recovery this year, even as it continued to underperform the broader crypto market. FIL, the storage-focused token, was trading at $7, up by 142% from its lowest point this year. It remains significantly below the year-to-date high of $11.85 and its all-time high of $237.
Crypto pros believe Filecoin price could surge to $30
One crypto expert, known as World of Charts, believes that the coin could surge to $30 in the ongoing bull run. If this was to happen, it would imply a 335% increase from the current level.
The analyst cited the fact that the FIL price has formed a symmetrical and horizontal resistance on the weekly chart.
Other crypto analyst are extremely bullish on the FIL token as they expect a massive breakout. In a post, Shardi B noted that, Filecoin’s chart looked great if you zoomed out on longer-term charts. He believes that the coin has moved into an accumulation phase and that it would stage a strong comeback.
Shidan Gouran, another analyst, noted that the coin would need to get to $26 to hit its all-time market cap of over $15 billion. He cited its underperformance as the result of the massive dilution in the past few years.
Now, however, he expects the coin to get to between $25 and $40 because the supply cap is about to be achieved. He also expects that Filecoin’s adoption as a file storage alternative will help to boost its adoption.
FIL price analysis: can Filecoin really surge?
The weekly chart shows that the FIL price has made a bullish breakout in the past few weeks. This rebound happened after the coin formed a double-bottom chart pattern at $3.23. In most periods, this is one of the highly bullish reversal patterns.
A double-bottom pattern happens when an asset fails to drop below a crucial point two times. In this case, it failed to drop below $3.25 in August 2023 and 2024.
Filecoin’s neckline of this pattern was at $11.80, its highest level in March 2024. It has also moved above the 50-week moving average. Oscillators like the Relative Strength Index (RSI) and the Stochastic have all pointed upwards.
Therefore, there are rising odds that the Filecoin price will continue rising in the coming months. If this happens, the next target to watch will be at $11.80. A blast above that level will point to more gains, potentially to the psychological point at $20.
On the flip side, a drop below the support at $5 will point to more downside, with the next level to watch being at $3.20.
Filecoin’s fundamentals
Filecoin price rebound could be supported by its strong fundamentals. Data shows that the total value locked (TVL) in its DeFi ecosystem has jumped to a record high of over $104 million.
The biggest players in the Filecoin ecosystem are GLIF, Parasail, STFIL, and SFT Protocol. This growth is notable since Filecoin launched its virtual machine just a year ago.
Filecoin has also expanded its business in other industries that analysts expect will continue doing well. In addition to the basic file storage, the developers launched cloud computing features similar to those offered by the likes of Amazon and AWS. These solutions include Kubernetes and containers.
Therefore, this growth, coupled with the ongoing demand for artificial intelligence will likely lead to more demand for the Filecoin ecosystem.
The other catalyst for the FIL price will be the ongoing cryptocurrency surge. In particular, its price will be boosted if Bitcoin rises above $100,000, leading to more demand for altcoins.
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