Flare (FLR) Indicates Bullish Crossover, Targeting 20% Price Increase
The FLR price appears poised for further gains in the coming days, following a confirmed bullish SMA crossover on the daily chart.
Summary
- On September 24, the FLR price surged to an 8-month high of $0.028.
- The token saw a rally in response to the launch of FXRP, marking the first live application of its FAssets protocol.
- A bullish crossover has been confirmed on the daily price chart.
According to reports from crypto.news, Flare (FLR) reached an 8-month high of $0.028 on September 24, currently settling at $0.026. The altcoin is up 30% from its monthly low and has climbed 136% from its lowest point this year.
Today’s increase in FLR corresponds with a significant surge in its daily trading volume, suggesting heightened trader demand. In the past 24 hours, the token’s trading volume rose by over 350%, alongside a 335% spike in derivatives volume, which hit $15.8 million, according to CoinGlass.
During this period, open interest in the FLR futures market increased by 23.8%. Typically, a rise in open interest along with price increases indicates a strong trend supported by new liquidity.
The long/short ratio for FLR stands above 2.4 across all significant timeframes, reinforcing the bullish sentiment, as more traders position themselves for a price increase.
Much of this excitement stems from the introduction of FXRP, the first live iteration of its FAssets protocol. This launch enables XRP holders to mint a wrapped version of the XRP token on the Flare network for utilization across decentralized finance platforms.
This development has positively impacted the token’s social sentiment, according to data from Santiment, which likely attracted the XRP community, known for actively championing projects that enhance their native asset’s utility.
On the daily chart, FLR has broken out from its trading range of $0.023-$0.025 that it had occupied for the past week, indicating that bullish sentiment has taken over as selling pressure weakened following the FXRP announcement.
The 20-day simple moving average has now surpassed the 50-day SMA, resulting in a bullish crossover recognized in technical analysis. Traders often view this as an initial sign that the asset is shifting from consolidation into an uptrend.
Moreover, momentum indicators such as the MACD lines are on an upward trend. In technical analysis, this suggests that market strength is returning after a previous period of weakness.
With a currently supportive community sentiment and the RSI not yet reaching overbought territory, the potential for further upward movement remains realistic in the near term.
Thus, FLR is likely to advance towards $0.032, a target aligned with the 61.8% Fibonacci retracement level, situated 23% above the current price.
If bullish momentum begins to fade, the key support level for the token is located at $0.023, coinciding with its 20-day SMA.
Disclosure: This article does not represent investment advice. The content and materials presented here are meant solely for educational purposes.