With a bullish relief rally underway, FET price action is showing a series of green candles that are finally taking a step back. The uptrend is on the back of a 69% increase over the past eight days, reclaiming the psychological $1 mark as the broader market recovers.
If the uptrend takes a break, will the sellers manage to regain trend control for a deeper decline? Or is this the best opportunity to buy the FET token on this minor dip?
FET price development
With a bearish trend in the 1-day chart, FET price action is showing a falling channel pattern. Moreover, the increasing bearish influence is leading to a death cross between the 50D and 200D EMA.
However, the recent bullish reversal from the $0.70 support level and the falling trend line brings buyers back into action. The reversal rally breaks the pattern and crosses the 50D EMA.
However, the sudden increase in supply leads to a minor decline during the day, resulting in the failure of the uptrend and a break above the 200D EMA and the 38.20% Fibonacci level at $1.55.
Technical indicators:
EMA: The falling 50D EMA is finding an uptrend with the recent reversal in FET prices. Thus, the chances of a bullish crossover to restore the positive alignment have increased. However, failure to break above the 200D EMA puts the uptrend at risk.
Will FET price reach $2?
With the channel breakout, the minor intraday pullback increases the chances of a retest of the broken trendline. However, an early reversal of the 50D EMA could restart the uptrend.
Based on the Fibonacci levels, the uptrend holding above the 23.60% Fibonacci level could see a bounce above $1.55 on retest. The breakout rally may face resistance at the 50% and 61.80% Fibonacci levels at $1.883 and $2.20, respectively.
On the downside, the psychological level of $1 and the level of $0.70 remain crucial support levels.
