FARTCOIN is trying to hold the $0.21 level after a 26% drop this week, amid sell-offs and liquidation of Longing positions, but the decline is showing signs of slowing around this support level.
Current developments suggest that selling pressure remains in control in the short term, although some signals in Derivative and price behavior suggest the market may be testing a supply exhaustion point. If $0.21 holds, a technical rebound scenario will depend on new buying inflows and the overall sentiment of the Solana memecoin.
- FARTCOIN dropped 26% weekly, with a sharp increase in volume and sellers dominating the market.
- The Derivative market saw larger Longing liquidations than Short liquidations, resulting in a decrease in open interest (OI), but the Longing/ Short ratio indicates continued buying pressure at the current price level.
- The $0.21 level is a key point, while weakness in the Solana memecoin group could hinder a reversal.
Sentiment in the FARTCOIN Derivative market is mixed.
Derivative show selling pressure stemming from Longing liquidation, but at the same time, there are signs of Longing position accumulation on some exchanges, creating a mixed sentiment picture.
Over the last 24 hours, FARTCOIN liquidation has heavily skewed towards Longing: over $5.94 million worth of Longing positions were liquidated, compared to $1.02 million worth of Short positions. This difference typically signifies "forced selling," where leveraged positions are forcibly closed, amplifying the downward movement.
An example of trading behavior illustrating liquidation"sweeping": a wallet might sell approximately $161,000 worth of FARTCOIN, then buy it back a few minutes later, but only for about $100,000. This type of rotation can remove weak positions from the market, allowing for price stability if selling pressure gradually subsides.
Open Interest (OI) decreased by 4%, reflecting a contraction in leveraged participation. However, the Longing/ Short ratio signals otherwise: according to CoinGlass data, there are more Longing positions than Short positions on Binance and OKX, while the number of Short accounts is higher than Longing accounts. This usually implies that a large group of participants may be betting on a buy direction, even though the majority of accounts still lean towards selling/hedge.
If the weekly decline continues to "flatten," the market may be shifting from a panic phase to a reassessment of reasonable price levels. However, with Longing liquidation still dominant, the risk of further shakeouts remains if key support levels are broken.
In Derivative monitoring scenarios such as open interest, funding, and liquidation to assess "forced selling" risk, traders can refer to additional tools and market perspectives from BingX to compare leverage movements with price behavior at support/resistance levels.
FARTCOIN is holding above the $0.21 mark, and this is a trend reversal point.
The price is stabilizing above $0.21, suggesting this area is acting as key support; a breach could accelerate the downtrend, while a hold could open up the possibility of a technical rebound.
On the chart, the price shows stability around $0.21, which is also a key point in March. The multi-month "wedge" accumulation structure broke upwards, but then the price failed to extend its upward momentum, causing selling pressure to regain dominance.
Over the past five days, sellers have remained in control. The rising MACD bars indicate that the bearish structure is still present. Previously, for about a month after the wedge breakout, buyers had better momentum, but that momentum has not yet been sustained by further upward movements.
Cumulative Volume Delta (CVD) data shows two consecutive days of outflows exceeding $250 million, followed by today's session where buy volume surpassed sell volume by over $75 million. This development could signal a short-term phase shift, but further confirmation is needed if the price breaks through the upper resistance levels.
If strong buying pressure emerges or memecoin sentiment reverses positively, the $0.21 level could remain secure. On the upside, a breakout above $0.42 would be a more definitive sign of developing buying momentum. Conversely, if sellers increase pressure, a break below $0.21 could trigger a stronger downtrend.
The weakening trend of the memecoin Solana could halt a reversal in FARTCOIN.
Even if FARTCOIN holds at $0.21, the weakening of the entire Solana memecoin group could reduce the chances of a sustainable reversal due to a lack of new systemic demand.
The broader industry landscape is also struggling. Memecoin market Capital on Solana dropped another 3%, while volume weakened. When the leading segment of the money flow doesn't improve, rallies for individual Token are often limited by a lack of "follow-through" from the overall market.
The current trend reflects a lack of strong buyers placing meaningful bids to trigger a clear upward move. However, existing bids are still sufficient to defend the $0.21 level, thus preserving the possibility of a technical "U-turn" if selling pressure continues to ease.
Conclusion: $0.21 is a crucial level, but the rebound needs further confirmation.
FARTCOIN has fallen sharply due to liquidation and forced selling, and is currently trying to stabilize around $0.21; a reversal depends on holding this support level and whether the Solana memecoin improves liquidation .
In summary, FARTCOIN has fallen 26% this week, driven by factors such as liquidations, forced selling, and declining open interest. While showing signs of slowing down around $0.21, the upward trend will be difficult to sustain without a significant improvement in buying momentum and overall industry sentiment.
The main risk lies in the continued weakening of the Solana memecoin segment, making any rebound susceptible to a "dead cat bounce." Conversely, if the overall market stabilizes and FARTCOIN breaks through the upper resistance levels, the recovery scenario becomes more credible.
Frequently Asked Questions
Why did FARTCOIN drop sharply this week?
FARTCOIN fell 26% this week, primarily due to overwhelming selling pressure and the impact from the Derivative market, where liquidation of Longing positions far exceeded Short positions, creating forced selling and amplifying volatility.
How important is the $0.21 price point for FARTCOIN?
The $0.21 level is Vai as a key support zone as prices show signs of slowing down there. If it holds, the likelihood of a technical rebound increases; if it is broken, the downtrend could accelerate as sellers regain control.
What does a 4% decrease in Open Interest (OI) indicate?
A 4% decrease in open interest (OI) indicates that the overall level of leveraged participation is contracting, which typically occurs when positions are closed or liquidated. This could dampen short-term euphoria, but it could also help the market "cool down" after a period of high volatility.
Why could the memecoin Solana affect FARTCOIN?
FARTCOIN is affected by market sentiment and capital flows across the entire segment. With Solana memecoin's market Capital falling by another 3% and Volume weakening, new systemic demand may be lacking, making a sustained recovery for FARTCOIN difficult if the overall market does not improve.
