Return of the Raging Bull?
Filecoin price has done well in the past few weeks as demand for decentralized storage rose. FIL, the platform’s native token, soared to a high of $11.40, which was the highest point since May this year. It has risen by over 92% from its lowest point this year, bringing its total market cap to over $3 billion.
Filecoin is a blockchain project that seeks to change the online file storage industry. Its goal is to leverage the concept of decentralization and blockchain to solve the challenge in the industry. For example, instead of relying on large data centers, it allows people to provide their free storage and earn money in return.
In the past few years, the network has grown rapidly and has been embraced by companies, especially in the non-fungible token (NFT) industry. It now has over 4,076 storage providers and over 400 organizations are building on the network. Its total storage capacity is over 17.8 EiB.
Filecoin operates in an industry that is highly competitive. Some of the most notable competitors are companies like Amazon, Google, and Alibaba that operate large data centers. It also competes with other blockchain platforms like Storj and Arweave.
Filecoin price prediction
The four-hour chart shows that the FIL price went parabolic this week as demand for the coin jumped. As it rose, it hit a multi-month high of $11.40. It then pulled back to a low of $7.70 and is now crawling back. The coin remains above the important support at $7.70 and the 25-day and 50-day moving averages. The Relative Strength Index (RSI) has moved close to the overbought level.
Therefore, Filecoin price will likely keep rising as bulls target the next key resistance at $11. A drop below the support at $8.35 will invalidate the bullish view since it will mean that there are still more sellers in the market.
