Over the past 24 hours, Fantom (FTM) has emerged as the standout among the top 100 cryptocurrencies by market capitalization, recording a notable gain of 13.5%. This increase is part of a broader recovery that has seen the price of FTM soar 180% in the last four weeks, propelling it from $0.42 to $1.20. This upward trajectory has significantly increased Fantom’s market capitalization to $3.3 billion, positioning it as the 41st largest digital asset in the world. Here’s why this might just be the beginning:
Sonic Update #1: The Catalyst for the Fantom Rally
Sonic’s anticipated update is critical to Fantom’s recent success. Designed to enhance the Fantom technology stack, Sonic delivers major scalability improvements without the need for outages. hard fork. Main components of Sonic upgrade include:
- Fantom Virtual Machine (FVM): It aims to significantly increase transaction throughput.
- Carmem database: It promises to reduce storage requirements by up to 90%.
- Optimized Lachesis Consensus: Improves the existing consensus mechanism to improve performance.
With these improvements, Fantom is targeting throughput of over 2,000 transactions per second (TPS), marking a substantial leap in scalability. Importantly, the update ensures that Fantom Opera’s existing smart contracts and tools remain fully compatible with the Sonic mainnet, scheduled to launch in spring 2024.
Recent testnets have demonstrated Sonic’s potential. The closed testnet, focused on ERC-20 swaps, achieved an impressive ~4,000 TPS with ~1.3 second completion. Additionally, a reconfiguration to process only ERC-20 transfers led to approximately 10,000 TPS with approximately 1.6 second completion, showcasing the capabilities of next-generation decentralized exchanges and wallets (DEXs).
10k tps achieved. Publicly verifiable. You can test it yourself, on public infrastructure. There’s no need for “trust me, bro.” Available today, there’s no need to wait. And we haven’t even started on the parallel execution meme yet. https://t.co/q2QRKM9WXe
-Andre Cronje (@AndreCronjeTech) March 15, 2024
Reflecting on the impact of Sonic, Reflexivity Research highlighted“Fantom Sonic opens up new possibilities for the Fantom ecosystem, particularly in decentralized finance (DeFi) platforms, blockchain gameshigh-frequency and Internet of Things (IoT) applications.
The research firm added that another pillar of Fantom is its exemplary 99.9% uptime. “Fantom’s new solutions position it as a pioneer in the development of decentralized networks,” said Reflexivity Research.
#2 Andre Cronje: The Innovator’s Promise
Andre Cronje, the founder of Fantom and one of the brightest minds in the crypto industry, has been instrumental in driving innovation in the ecosystem. Cronje recently highlighted his commitment to advancing the crypto space, stating“The number 1 dex in Baseand dex number 1 in Optimism are both built with code I wrote and pioneered. Stay where the innovators are, after Sonic I will add some new primitives to cryptography.”
Coinbase Announcement #3: A New Milestone
Another factor driving today’s price rally is likely today’s announcement from Coinbase International that it will launch Fantom perpetual futures on the Coinbase International Exchange and Coinbase Advanced, scheduled to begin at or after 9:30 am UTC on March 28, 2024. Expect- This move by Coinbase is expected to further increase Fantom’s liquidity and accessibility, contributing to its growing appeal among investors.
@CoinbaseIntExch will add support for Fantom and THORChain perpetual futures on Coinbase International Exchange and Coinbase Advanced. The opening of our FTM-PERP and RUNE-PERP markets will begin at 9:30 UTC on March 28, 2024. pic.twitter.com/CHBVF58ISc
– Coinbase International Exchange 🛡️ (@CoinbaseIntExch) March 21, 2024
#4 Technical Analysis: FTM/USD
Fantom’s bullish price momentum is apparent on the weekly FTM/USD chart on Binance, represented by the candlestick’s last close above the major 20-, 50-, 100-, and 200-period exponential moving averages (EMAs). This week’s candlestick represents a notable increase of approximately 50% from the week’s low.
Fantom’s rise has pushed its value past the 0.382 Fibonacci retracement level at $0.9176. This bullish breakout suggests that the market may target subsequent Fibonacci levels, with $1.38 (.382 Fib) acting as an intermediate psychological and technical resistance, followed by $1.76 (0.5 Fib), and potentially extending towards the golden ratio of $2.13, which corresponds to 0.618. Fibonacci levels.
On the other side of this bullish scenario, should a correction occur across the broader crypto market, immediate support for FTM could be anticipated at the $0.92 level. Stability equal to or greater than this threshold could reaffirm bullish control of the market. On the other hand, a downward breach could intensify selling pressure, possibly leading to a retest of support around the $0.56 mark.
![Fantom (FTM) Jumps 180% in 4 Weeks: Just the Beginning? 1 Fantom FTM Price](https://thegurumedia.com/wp-content/uploads/2024/03/FTMUSD_2024-03-22_13-03-36.png)
Featured image from Kraken Blog, chart from TradingView.com
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