Fartcoin (FARTCOIN) 24-hour big dump of 21%! Liquidity outflow intensifies, key demand zone becomes the last defense line for long positions | FARTCOIN price prediction

The popular Meme coin Fartcoin (FARTCOIN) has encountered significant selling pressure, with a price big dump of 21% in the past 24 hours, leading to a shift in market sentiment towards caution. The derivation market's open interest (OI) has plummeted by 12%, with a net outflow of $89 million, indicating that investors are withdrawing from FARTCOIN positions. On-chain data shows that approximately $10.55 million positions have been liquidated, while around $3.5 million in the spot market has shifted to other Tokens. Technical analysis indicates that FARTCOIN has entered a historically key demand zone ($0.8070-$0.9063), but the RSI and MACD indicators still show bearish signals; whether a Rebound can take shape depends on the support strength in that area and the liquidity return in the Meme coin market.

[Price Crash | Market Sentiment Turns Cold Quickly] As of the press release, the Meme coin Fartcoin (FARTCOIN) has significantly dropped by 21% in the past 24 hours, with investor sentiment clearly turning pessimistic. CoinMarketCap community sentiment data shows that among 13.7 million participants, the proportion of investors holding a bullish stance on this asset has decreased from a peak of 70% on August 6 to 62.5%. Cross-market capital flow analysis indicates that fund outflows in various sectors are synchronized with price declines, and investor interest is shifting towards other Meme coins, but the technicals show potential rebound opportunities still exist.

【Liquidity Crisis|$89 Million Net Outflow in Derivatives Market】

(Source: Coinglass) The FARTCOIN contract derivation market is experiencing a large-scale liquidity withdrawal. According to CoinGlass data, its open interest (OI) has fallen over 12%, down to $743 million, reflecting a net outflow of $89 million. Open interest measures the total dollar value of all active long and short contracts in the current market. A decline in open interest accompanied by a price drop usually indicates a cooling of investor sentiment in the derivation market, with some traders actively closing positions while others face forced liquidation. As of the time of writing, positions worth approximately $10.55 million have been liquidated, suggesting that most of the outflow of funds is due to investors voluntarily exiting. This pessimistic sentiment has spread to the spot market, with around $3.5 million of positions being closed, and funds shifting towards other tokens.

【Capital Siphoning?|PUMP may become a Liquidity Competitor】 AMBCrypto observed a significant correlation pattern between FARTCOIN and Pump.fun (PUMP), suggesting that liquidity may be flowing into PUMP. Over the past week, the movements of both have typically followed each other closely. However, recently, when FARTCOIN (blue marker) fell, PUMP (purple marker) rose against the trend, indicating that funds may be shifting towards the latter. This suggests that investors might be reallocating liquidity from FARTCOIN to PUMP. However, this speculation has not yet been confirmed by on-chain data and is currently only suggested by the chart patterns. Nevertheless, the chart for FARTCOIN shows that based on recent dynamics, the asset still has the potential to reverse its bearish trend.

[Key Area|$0.8070-$0.9063 Demand Zone Becomes a Battlefield for Bulls and Bears] The daily chart of FARTCOIN shows that its price has entered the key demand zone of $0.8070 to $0.9063. Historically, this zone has acted as a price catalyst during four different periods, each time triggering significant increases. If history repeats itself, it may trigger a strong rebound in the coming days. However, if the price effectively falls below the demand boundary of $0.8070, the bullish rebound outlook will be greatly weakened. It is worth noting that the demand strength in this area seems to be weakening: the last time FARTCOIN traded in this range on August 2, it recorded the smallest increase since first reaching this area, suggesting that most buy orders may have been consumed.

[Technical Indicators Weak|RSI and MACD Both Issue Bearish Signals]

(Source: TradingView) The analysis of the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) currently does not support a bullish outlook. As of the time of writing:

  • RSI is at 36.31: In the bearish zone. It needs to rise to the neutral level of 50 or fall below 30 into the oversold area to potentially issue a recovery signal.
  • MACD Report -0.0805: Also in the negative value area. A golden cross needs to form and enter the positive value range to enhance the credibility of the bullish reversal. Both indicators suggest that downward pressure persists, which may limit the potential for a short-term rebound.

Conclusion: The deep pullback (-21%) of Fartcoin (FARTCOIN), along with the outflow of nearly 100 million USD from the derivatives market, highlights the high volatility and liquidity fragility of the Meme coin ecosystem. Although the historical key demand zone ($0.8070-$0.9063) theoretically provides a rallying point for bulls, weak RSI and MACD indicators, along with signs of declining demand strength, cast a shadow over the rebound prospects. The current trend depends not only on the success or failure of defense in this technical area but is also constrained by the overall capital flow in the Meme coin sector—especially whether competitors like PUMP continue to siphon liquidity. Investors need to closely monitor the gains and losses of the $0.8070 defense line and on-chain capital movements. If the territory cannot be quickly regained and liquidity does not return, FARTCOIN may face a deeper correction. The sentiment shift in the Meme coin market is often rapid, and risk control remains key to participating in such assets.

FARTCOIN-4.18%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate app
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)