Filecoin (FIL) is currently trading at a pivotal support level of $1.85, indicating a phase of accumulation that may lead to a significant upward movement. Despite the current stabilization, the Relative Strength Index (RSI) remains neutral, and the Moving Average Convergence Divergence (MACD) is showing a decline in momentum, hinting at a potential bullish convergence if buying pressure increases.
As the market cap has dipped to $1.3 billion, the rising open interest signals renewed trader engagement. Following a sharp decline, FILUSDT is consolidating around $1.85, with a critical resistance zone identified between $1.93 and $1.99 that is currently hindering further upward movement.
Consolidation and Support Levels
The price action of FILUSDT has been characterized by sideways movement, persistently testing support levels in the range of $1.93 to $1.99. The presence of multiple candle wicks suggests that buyers are actively defending this zone, absorbing selling pressure and preventing a breakdown. The horizontal support line depicted in the chart serves as a potential launchpad for upward movements.
Technical analysis indicates that FIL might execute a liquidity sweep below minor swing lows before embarking on a strong upward trajectory. The anticipated target zone is approximately between $3.86 and $3.96, aligning with previous supply areas and resistance points from earlier consolidation phases. Traders are advised to watch for confirmations such as volume spikes and bullish candlestick formations to validate these potential moves.
Support levels are robust between $1.68 and $1.92, having been tested multiple times, demonstrating persistent demand at these lower levels. Long lower wicks on candles reveal buying activity following sharp corrections from past rallies, underscoring the market”s underlying strength.
Resistance and Potential Bullish Path
Filecoin faces several key resistance targets, notably historical supply zones at $2.48, $2.86, and $3.18. Should buyers maintain their momentum, the price may attempt to navigate through these levels steadily rather than through a singular breakout event. The RSI currently hovers in the high 40s, indicating a lack of strong buying or selling pressure, symbolizing a market poised for direction as FIL trades within its consolidation range.
The MACD”s declining bearish momentum suggests a potential for bullish convergence if buying pressure mounts. An analysis of the 1-hour FILUSDT chart, alongside liquidation heatmaps, reveals price compression in the $1.87 to $1.94 range. Bright yellow bands indicate significant liquidation clusters that often attract short-term liquidity grabs before price reversals occur. Additionally, negative funding rates indicate a dominance of short positions, which could trigger upward momentum if these positions are liquidated.
Market Capitalization and Trading Activity
Filecoin”s market capitalization has decreased from $1.55 billion to $1.3 billion, reflecting high volatility, particularly noted on November 15 and 18. These fluctuations corresponded with spikes in trading volume and activity, suggesting active accumulation or short-term positioning at lower price levels. The gradual increase in open interest following compression indicates renewed engagement from traders and growing potential for directional movements.
Overall, FIL is at a critical juncture, with current support zones providing a base for possible upward movements. Analyzing market activity, technical structure, and order-flow metrics collectively suggests that momentum may shift towards the upside if buyers continue to remain active.
