Fantom Price Down 15.63% – Time to Buy FTM?

Investors are wondering whether this is a perfect time to buy FTM, with the price slumps. After all, the best time to buy a coin with a strong project is when its price is dropping. Fantom has shown itself to be a very strong project, so this should be interesting.

Below, we’ll take a look under Fantom’s hood to see what it is and how it works – as well as whether this is a good time to purchase FTM.

Fantom: Sub-Second Transactions for Everyone

Fantom is an open-source, decentralized blockchain platform that focuses on enabling the development of decentralized applications (dApps) and digital assets. The blockchain is one of the famed “Ethereum killers” – blockchains that have tried to provide an alternative to Ethereum, which currently faced significant scalability issues.

The Fantom blockchain was launched in December 2019, and it looks to solve the blockchain trilemma – offering speed, security, and scalability. The Fantom infrastructure is tied together thanks to its Asynchronous Byzantine Fault Tolerant (aBFT) Proof-of-Stake (PoS) consensus mechanism, which keeps it operational. As a mechanism, aBFT preserves network security while keeping speed at optimal levels.

Fantom also uses Lachesis – a leaderless PoS consensus mechanism that secures the network and improves speed. Lachesis allows the network to process data at different times, while also being able to maintain security even if up to 33 percent of network participants behave maliciously.

Lachesis also allows transactions to be confirmed almost instantly. Transactions are confirmed in less than a second, making Fantom a high-performance blockchain.

FTM is the native token for Fantom. People can buy FTM and use it for different purposes – including staking, governance, and payments throughout the network. You can also buy FTM and use it as a speculative asset.

FTM: Price Movements in 2021

FTM has had an interesting year, like most cryptocurrencies. The push to buy FTM didn’t come until much later. FTM started 2021 trading at $0.0205. The coin’s price stayed modest for a while, then it started to make bigger moves around February. FTM hit $0.8 by February 25, then it hit $0.95 on May 10. When the downturn came, FTM’s price slumped from its high to $0.17 on May 23. That marked a drop of 82.2 percent in less than two weeks. The slump continued, however, and FTM was never really able to regain its perch.

FTM eventually bottomed out at $0.15 on July 20, following a massive market selloff that spilled from the large-cap coins downwards. At its low, the coin was almost 90 percent down from its previous high.

But, August came with new life for the entire market – and FTM wasn’t left out. Investors looking for cheap coins started to buy FT, and the asset’s price soon skyrocketed. FTM’s monthly chart shows a significant jump, with the coin rising by 442 percent from $0.28 to $1.52. The asset crosse dit precious high of $0.96 on September 4, and it went all the way up to $1.93 – over double its previous high.

Currently, FTM’s price stands at $1.52 – down15.63 percent in the past 24 hours, but still up 74.02 percent from the past week.

FTM: Technical & Fundamental Analysis

FTM is doing quite strong technically, even with the recent drop. Its 20-day and 200-day moving averages (MAs) stand at$0.90 and $0.43 respectively and the coin’s relative strength index is 79.37. This shows that investors still want to buy FTM despite the recent drop.

There isn’t much news about Fantom, although its developers launched a 370 million FTM incentive program for developers building on the chain late last month. The program will reward devs with between a million and 5 million FTMs, so they can build faster and spit the chain’s adoption.