Fantom (FTM) is exhibiting impressive resilience with a 10% surge in just 24 hours. The token is currently trading near $1.05, having bounced back significantly from recent lows. This rise comes alongside a notable 70% increase in trading volume, signaling strong market participation and interest in FTM. As the price continues to rise, many traders and analysts are asking: could this be the beginning of a more significant rally for Fantom, potentially reaching $1.66?

Strong Technical Setup for a Potential Breakout

Currently, Fantom (FTM) is facing a key resistance level at $1.10, which has proven difficult to breach over the past three days. This resistance level is critical because it marks the neckline of a bullish inverted head and shoulders pattern, a technical formation known for signaling upward price momentum when the pattern completes.

The challenge FTM faces in breaking this resistance is pivotal. If it can successfully close above $1.10 on the daily chart, it is likely to trigger a bullish breakout. According to analysts, a clean break above this level could push the price towards $1.65, marking a potential 40% increase from its current price.

Indicators Support a Bullish Outlook

FTM’s technical indicators further suggest that the coin may be primed for a breakout. The altcoin is trading above its 200 Exponential Moving Average (EMA), which typically indicates a positive trend in price action. This suggests that, despite the broader market volatility, FTM is maintaining its upward momentum, making it more likely to continue its rally if it breaks through the $1.10 resistance level.

Moreover, Fantom’s Relative Strength Index (RSI) currently sits below the 70 mark, signaling that the asset is not yet overbought. This gives the altcoin additional room to grow in the short term before it risks becoming overheated and facing a pullback.

Whale and Institutional Activity Is Growing

Beyond technical analysis, on-chain metrics offer additional support for FTM’s bullish outlook. According to data from Coinglass, whale activity has surged significantly in the past few days. The data shows that whales are pulling FTM off exchanges, leading to negative net flows. This suggests that large investors are moving their holdings into self-custody wallets, reflecting confidence in the asset and a long-term bullish sentiment.

Whales are not the only ones showing confidence in Fantom. The increase in trading volume, driven by both institutional and retail participation, indicates growing interest in the token. Additionally, FTM’s open interest has risen by 15% in the past 24 hours, further suggesting that market participants are positioning themselves for potential gains, even as broader market sentiment remains cautious.

What’s Next for Fantom?

The confluence of technical indicators, whale activity, and rising open interest creates a compelling case for Fantom’s future performance. If the altcoin can break above the critical $1.10 resistance level, a 40% rally toward $1.65 is entirely within the realm of possibility.

Investors should keep an eye on FTM’s price action, particularly how it handles the $1.10 level. If Fantom can maintain upward momentum and close above this resistance, it could trigger a strong rally toward higher price targets. Given the current market environment and the altcoin’s resilience, FTM may be positioned for a breakout that could set the stage for significant price growth in the coming days.

Conclusion

Fantom (FTM) is showing impressive signs of bullish strength amid a market correction, defying the broader bearish trend. With strong technical indicators, increasing whale and institutional activity, and a potential breakout above $1.10, FTM is poised for a rally that could see its price soar by 40% toward $1.65. Traders and investors should stay alert as FTM approaches key resistance levels, which could determine the next phase in its price movement.