FET is testing a key support zone after confirming a bearish breakdown, with analysts viewing the area as a potential demand region. A successful defense could support a short-term rebound for the FET price, though weak momentum indicators continue to reflect strong selling pressure and downside risks.
At the time of writing, FET is trading at $0.1855 with a 24-hour trading volume of $136.55 million and a market capitalization of $419.1 billion. Despite the signs of stability over the last 24 hours, the FET price structure points to a bullish reversal ahead.
Source: CoinMarketCap
FET Price Near Demand Zone as Recovery Hopes Build
Furthermore, the crypto analyst Alpha Crypto Signal highlighted that the FET price has completed a bearish rounding top formation and is now testing an important horizontal support level.
Technical analysts believe that this level is a possible demand zone that can act as a buying opportunity for traders. In case the FET price sustains its position above the said support level, a corrective rally may be expected.
Source: Alpha Crypto Signal’s X Post
It is argued by market analysts that a strong defensive move in the support region may open up a good scenario for the FET price to rally back towards the $0.225 level due to efforts of buyers who would be looking to make a comeback.
However, a breakdown from the existing levels would weaken the bullish stance and increase risks of further losses.
Momentum Indicators Point to Downward Pressure
According to TradingView, a fast and obvious bearish trend reversal in the FET price can be seen from its daily candlestick chart.
After attaining its peak at around the vital resistance zone of 0.28000, the FET price went down to 0.18527 as a result of a series of solid red candles, making a daily loss of 1.43%.
Source: TradingView
The underlying technicals work in perfect alignment in forming the picture of consistent downtrend movement.
The RSI stands at 40.45 and is well below the yellow line of the indicator and hasn’t reached the oversold zone yet. Meanwhile, the MACD lines are deeper in the negative area, and the red bars of the histogram grow larger.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
Also Read: FET Price Rally Strengthens: Can It Hit $0.2280 Following AEVS Launch?
