Filecoin experienced a 2.2% decline in value, falling from $1.32 to $1.29, as technical selling pressures took hold. This drop aligns with a bearish channel pattern characterized by a series of lower highs, indicating ongoing downward momentum within a trading range of five cents.
Significantly, trading volume spiked to 7.59 million tokens, reflecting a 180% increase over the average for the previous 24 hours. This surge coincided with heightened selling activity at the $1.33 resistance level, suggesting substantial institutional distribution. Despite the negative trend, a recovery from the $1.28 support illustrates that institutional buyers are still active in the market.
The overall cryptocurrency market also showed signs of weakness, with the CoinDesk 20 index dropping by 3.1%. Immediate resistance remains at $1.33, while critical support is established at $1.28. Analysts speculate that any breach below this level could lead to further declines towards $1.26.