TL;DR
- FIL fell 10% in 24 hours, trading at $2.34 after losing the $2.50 and $2.40 support levels.
- Trading volume exploded by 137% above its average, confirming the breakdown.
- Technical analysis points to $2.30 as the next bearish target following the collapse.
In the last 24 hours, Filecoin (FIL) experienced a severe sell-off. The asset fell 10% to trade at $2.34. But this was not a random drop; it was due to a technical collapse after the digital asset’s key support was broken.
Selling pressure completely overwhelmed buyers, confirming a bearish breakdown pattern. This pattern was reinforced through the formation of consecutive lower highs from the $2.67 resistance zone, which confirms a bearish momentum structure.
Most concerning for FIL holders is the validation of this move by volume. Trading volume exploded to 21 million tokens, a surprising 137% more than the 24-hour simple average of 8.9 million.
This unusual volume, suggesting institutional participation patterns, confirms the validity and strength of the breakdown.
The model showed that the drop accelerated brutally when FIL broke through the crucial supports located at $2.50 and, subsequently, at $2.40. It is reported that this breakdown was exacerbated by institutional-sized sell orders that triggered a cascade of stop losses, intensifying the sell-off and pushing the price to new lows.
Technical Analysis and Price Outlook for FIL
After the sharp fall, the technical outlook for Filecoin is definitively bearish. The immediate primary support is now at the previous low, located at $2.35. This is the last short-term line of defense for buyers.
Meanwhile, the levels Filecoin broke, specifically the $2.40 and $2.50 zones, have now become strong overhead resistance ceilings. Any recovery attempt in the short term will have to face a significant battle to reclaim the $2.40 zone.
The clear downtrend structure, with lower highs and the recent volume-confirmed breakdown, keeps momentum control firmly in the hands of sellers.
The immediate downside target that analysts are watching is the psychological level of $2.30. If the $2.35 support fails to hold against the selling pressure, it is highly likely the price will seek to test this mark.
For the bullish thesis to regain any traction, Filecoin would not only need to stabilize above $2.35 but also achieve a decisive and sustained recovery above the $2.40 resistance zone. Until that happens, selling pressure dominates the market structure, leaving investors on high alert.
