Filecoin experienced a decline of 2% to reach a price of $1.28 on Wednesday, reflecting the overall trends in the cryptocurrency market. This movement is largely influenced by market sentiment rather than any specific developments related to the token itself, as indicated by CoinDesk Research's technical analysis model.
The CoinDesk 20 index, which tracks the broader crypto market, showed a decrease of 0.6% at the same time. Furthermore, trading volumes for Filecoin were reported to be 7.3% above the weekly average, suggesting steady participation from large holders, despite the absence of significant breakout activity.
Current support for Filecoin is established at $1.27, while resistance remains at $1.35. The model indicates that the price movement is characterized by an accumulation phase, with recent formations of higher lows suggesting potential for upward movement. The immediate target for the token lies within the $1.285-$1.290 range, but breaking through the resistance at $1.35 will require a substantial increase in trading volume.