FET Price Analysis

FET may be set to remain in its downtrend and fall towards $0.42 next.

• Lack of buying pressure means no recovery is in sight at press time.

The Artificial Superintelligence Alliance (FET) has joined the list of altcoins that have fallen below their 2024 lows. The sentiment across the market has been growing increasingly bearish, with hundreds of millions of dollars in liquidations seen in the crypto market daily over the past two weeks.

The selling pressure that drove Bitcoin (BTC) below the $92k range low has not fully abated. Investors must remain cautious as the Artificial Superintelligence Alliance token plunges towards new lows each week without any signs of recovery, suggesting that investors might want to stay sidelined.

Where will FET mark a local bottom on the charts?

The daily timeframe reveals a strong bearish trend. The Directional Movement Index’s ADX (yellow) and -DI (red) are both above 20, highlighting the downward trend. The Choppiness Index’s reading is 39.92, indicating a strong directional trend rather than a choppy market.

The On-Balance Volume (OBV) supports this finding, trending downwards since mid-December, characterized by persistent selling volume behind FET. Hence, it shows that this is not a consolidation phase with accumulation from holders, and buyers are scant and scattered.

The 4-hour chart indicates that the $0.6 support from February was tested multiple times before giving way in the first week of March. The Fibonacci extension levels suggest that the 23.6% level at $0.482 poses little resistance.

It is likely that FET will retest the $0.48-$0.52 region as resistance before falling lower, with the 61.8% extension level at $0.295 as the next target. The $0.35-$0.37 level may also act as support on the way down.

Traders can expect a potential bounce to $0.5-$0.52, followed by a drop to $0.37 or $0.42. If the downtrend continues, further losses and a move to $0.295 may be plausible.

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.