16 FEB 2022 (WED)- Fantom (FTM) Report Card

By quantdoge | Daily Crypto Risk Report | 16 Feb 2022


Investment Disclaimer:

  • I am not a registered investment, legal, or tax adviser or a broker/dealer, and all opinions expressed by me are from my research for educational purposes only.
  • Past performance presented here is not an indicator of future performance.
  • This post expresses my own opinion about the cryptocurrency mentioned herein and is not an offer to buy or sell, or a solicitation of any offer to buy or sell the cryptocurrency mentioned in this post.
  • I do hold a long position in FTM as a token holder.

1A. Project Updates

1. Fantom General Update (14 Feb 2022)

Updates extracted from this article:

a. Solidly, the new AMM with the innovative ve(3,3) token model created by Andre, launched on Fantom on February 10.
b. NFT marketplace Artion received a big update.
c. Stader Labs brings liquid staking to Fantom.
d. Fantom's new governance proposal: Reducing the minimum validator stake.
e. Request Finance now supports payments for 15+ cryptocurrencies on the Fantom network
f. Dappradar now tracks Fantom dApps
g. ZenLedger integrates Fantom for easier tax reporting
h. FTM listed on Poloniex

2. Blocknative brings transaction transparency to Fantom (14 Feb 2022)

Web3 infrastructure company Blocknative has launched beta support for the Fantom Network. Blocknative tools offer unprecedented granular-level visibility into mempools. Mempools are where transactions are organized, gas fees are prioritized, and general block construction begins. For all users, Blocknative can signal when a wallet is stuck, when transactions fail, or when a node rejects transactions.

3. Stader Labs Brings Liquid Staking to Fantom (10 Feb 2022)

Stader Labs will support Fantom. Fantom users will be able to unlock the value of their staked FTM through liquid staking and delegate to multiple validators with a single click. Staking provides steady passive income while securing the network and allowing users to participate in on-chain governance.

4. Managing payments and invoices with Request on Fantom (03 Feb 2022)

Request Finance is a fast and simple app to generate, track, and pay invoices on the Fantom network. Since Request’s launch on Fantom at the end of August last year, the number of unique Fantom wallet addresses has grown 440% to reach 1.9 million. Total value locked (TVL) on the network has grown by an astonishing 1,248% to reached $9.2 Billion.

1B. Top 3 Good News for FTM HODLERS !!!

1C. Top 2 Bad News for FTM HODLERS !!!

2. How Fantom Performs Relative to Other Cryptos ?

Performance of All Cryptos Under Quantdoge Watchlist since 2021 (Sorted by % Return)

fe79876dd2392e214d7c54113771d9dcc7a917296695de63068acd5f3e997f4b.jpg

FTM has undergone 11,174.27% return from USD 0.0171 to USD 1.9279 since 01 Jan 2021. FTM is the second best performing crypto asset among others here.

3. How Resilience Fantom Is Towards Bitcoin Crash Relative to Other Cryptos ?

Historically, all altcoins are somewhat dependent on Bitcoin price movement and it’s often the case where if Bitcoin falls, most altcoins would follow.

Top 3 Cryptos That Are Most Resilient To Bitcoin Crash During Each of BTC 4 Largest Crashes in 2021

09aaed8c2d2a0aebc52b92b4886bdbe2d55c95a9c4ab18169a958c55842903fc.jpg

FTM has proven resilience against BTC crash in 0 out of the 4 instances.

During the last 4 BTC market crashes,

When BTC dropped by -13.47 %, FTM returned -38.29 % at 20 May 2021,
When BTC dropped by -13.13 %, FTM returned -6.97 % at 22 January 2021,
When BTC dropped by -12.16 %, FTM returned -20.46 % at 13 May 2021,
When BTC dropped by -11.39 %, FTM returned -24.15 % at 22 June 2021
 
4. Technical Analysis on Fantom

4.1. Volume Weighted Average Price (VWAP)

1d6d291d5d1f17e3a0c36dcaf71103f7b1827c57bcec9c1a555a90605f78d380.jpg

VWAP is a technical indicator used by a trader to gauge the overall trend of an asset price movement. VWAP line (orange line) represents the volume-weighted average price (average price here is defined as the average of high, low and close prices) while close price line (blue line) represents the price when FTM is closed at the end of every single day. 

Whenever blue line (close price) is above orange line (VWAP), it indicates that the asset is gaining momentum and being traded higher than its average price level. This would represent a 'buy' opportunity for short-term momentum trader whom task is to trade following the trend while a longer term mean-revision trader might take it as a 'sell' opportunity, anticipating that the price of FTM (blue line) to fall to its average level (orange line).

Whenever blue line (close price) is below orange line (VWAP), it indicates that the asset is losing momentum and being traded lower than its average price level. This would represent a 'sell' opportunity for short-term momentum trader whom task is to trade following the trend while a longer term mean-revision trader might take it as a 'buy' opportunity, anticipating that the price of FTM (blue line) to rise to its average level (orange line).

As of 15 Feb 2022, VWAP is suggesting that FTM is losing momentum and is now trading below its week-long and month-long volume weighted average price.

4.2. Moving Average Convergence Divergence (MACD)

db66d3954824ec945418db75b326f7c67903b7ca9710e9ac0b7128a3dda8b6f9.jpg

MACD is often used by trader as a momentum indicator. There are 2 lines that form the above charts, namely MACD (12, 26) lines and Signal(9) line, while the histogram is calculated by subtracting Signal (9) from MACD (12,26). Histogram would fall to the negative territory whenever MACD (12, 26) is trending at a lower level than Signal (9) and rise to the positive territory whenever MACD (12,26) is trending at a higher level than Signal (9).

MACD (12, 26) is computed by subtracting the 26-day exponential moving average (EMA) of FTM closing price from its 12-day EMA. 
Signal (9) on the other hand is calculated as the 9-day EMA of MACD (12,26). 

As MACD (12, 26) goes higher away from Signal (9), it signifies that FTM is gaining momentum and whenever it goes trends at a lower level than Signal (9),it signifies that FTM is losing momentum. 

As of 15 Feb 2022, MACD is suggesting that FTM's momentum has been trending down before coming to its current consolidation phase.

4.3. Bollinger Band

e2e8bb31e6e770e7d8074f9d2311a9b9ed85b4d035782f46aa66edaf30ff0596.jpg

Bollinger band is often being used by mean-reversion trader as a gauge to assess how undervalued or overvalued an asset is. Its chart made up of 4 lines, namely:

- SMA (20) (blue line), which is the 20-day simple moving average price of FTM
- Upper Band (orange line), which is computed by adding 2 standard deviations of FTM on SMA (20)
- Lower Band (red line) , which is computed by subtracting 2 standard deviations of FTM from SMA (20)
- Close (green line), which is the daily closing price of FTM

Whenever close line (green) touches the lower band (red), it indicates that FTM is corrected too much and is being traded at an undervalued level, representing a 'buy' opportunity. On the other hand, whenever close line (green) touches the upper band (orange), it indicates that FTM is gaining too much momentum and is being traded at an overvalued level, thus indicating a 'sell' opportunity. 

As of 15 Feb 2022, Bollinger Band is suggesting that FTM is neither overbought nor oversold. 

4.4. Relative Strength Index (RSI)

d6e7a02823bb2f48e43208f2791f8518fc976732696292305ee28f231bc57ce9.jpg

Just like Bollinger Band, Relative Strength Index is often being used by mean-reversion trader as a gauge to assess how undervalued or overvalued an asset is. There are 2 psychological levels, i.e. 30 and 70 in RSI. Whenever the RSI reaches 30, it indicates that FTM is corrected too much and is being traded at an undervalued level, representing a 'buy' opportunity. On the other hand, whenever RSI reaches 70, it indicates that FTM is gaining too much momentum and is being traded at an overvalued level, thus indicating a 'sell' opportunity. 

As of 15 Feb 2022, RSI is suggesting that FTM is neither overbought nor oversold. 

4.5. Price and Volume Analysis

84c80a5d43d8d682b636fd6bb75d0b561d8ae3a9739177d90e1424e05572cbfd.jpg


Fantom's current consolidation phase is accompanied by a significant lower amount of active daily trading volumes. 

Based on the technical analysis presented above, quantdoge is neutral on FTM, but I could be wrong, hence please make your careful due diligence before making any financial decision. 

5. Fantom Risk Profile

a14562b202a3efaf539d89ad6350ceca4447195fda71e8eec45495c4b26d4455.jpg

f78ca4d4dc31d7b31caa3b2358ac968bb0e767789d6cd9af65240845186b9e1c.jpg

Based on the 100-day 95% historical Value-at-Risk (VaR) profile of Fantom defined above, FTM seems to trade at a similar risk level on 15 Feb 2022 as compared to 10 days before on 05 Feb 2022, with its biggest pullback being seen at -18.98% on a single day during the last 100 days. However, I could be wrong, hence please make your careful due diligence before making any financial decision.

6. FTM Community Analytics

Number of FTM Followers In The Last 30 Days

4d7ace738abbf8df075dfa6f51923615a2d118bb18b5e5a2a4b28a42932cc4e0.jpg

fd66960694ae42c9c6735c7c76a95dd92d9eaeee15e74ee8c0a0e1bc5efae489.jpg

In the last 30 days alone, Fantom followers have grown 13.02 % from 333,825 to 377,290 on Twitter and grown 11.9 % from 29,519 to 33,033 on Reddit.

Daily increment of Fantom Twitter followers peaked on 25 Jan 2022 and its daily increment of Reddit followers peaked on 23 Jan 2022.

On average, Fantom managed to attract 525 new Twitter followers and 121 new Reddit subscribers every day for the past 30 days.

7. Google Trends Analytics

ba981f3eff7c9c22a0ce289a3661550576b53d8d5c16fdfa3a0046f00920b2e5.jpg
"fantom blockchain" reached its peak in Google Search on 2022-01-09 with a Google Score of 100
Over the last quarter, "fantom blockchain" Google Score has increased 9.86 % from 35.5 to 39.0
Over the last 6 months, "fantom blockchain' Google Score has decreased 23.53 % from 51.0 to 39.0

063fa94b35d7db83745fedf73e463046a6773b92640736e224d5dbfed19739a0.jpg

Over the past month, "fantom blockchain" was most sought after from three developed economies with crypto-friendly regulations, namely France, Germany and Canada.

8. Developer Activity Analytics

3ba4d116ba424ebfa0d45ea8eac052cbd23e7a09e83d431289507b733b3b9913.jpg

Fork

Fork refers to the amount of time where the Github repo of current cryptocurrency is being copied. Higher fork number could mean that this cryptocurrency project is getting more interest in the developers community who likes to explore more on the deep technical of this project.

Fantom forks increased 52.63% from 38 to 58 in the past year.

Star

Star refers to the number of developers who bookmark the Github repo of current cryptocurrency. Higher star number could mean that this cryptocurrency project is getting more general interest in the developers community.

Fantom stars increased 143.59% from 78 to 190 in the past year.

Pull Request

Pull request contributor refers to developer who has made a successful improvements/ modifications on the Github repo of this current cryptocurrency project. Higher number of pull request contributors could mean that there is a high number of commitment given by developers to this cryptocurrency project.

However, a low number also could mean that the developer community of this project applies a strict standard when it comes to code review, so only developers who have published a high quality code with highly impactful features got approved.

Fantom pull request contributors increased 4.55% from 22 to 23 in the past year.

9. Binance Futures Activities

4ce611183a750afa9f06f00695915421bb3569c53756ec6bbecaa1cb12d1f0fb.jpg

FTMUSDT futures have relatively more buyers than the sellers in this month of February. However, as the time passes, the short positions on FTMUSDT futures are increasing faster than the long.

7debb1c595be2d63c534c55954e254d86724bdb68c1bb9956703bd010ec8306c.jpg 

FTMUSDT long-short ratios remain consistently higher than BTCUSDT and ETHUSDT futures. However, after 14 Feb, a lot of long traders are exiting their positions while short traders are building up their short positions as FTM price is trending up. Please take note that this long-short ratio is simply just dividing the number of accounts who are long by the number of accounts who are short, without taking any buy/ sell volume into consideration. 

a85ef17b0ed1d1b5f0e5256882bbd67d501c57eb3f3cf6ae175941ab8d43b48f.jpg

458e22a8c5bf73c1b1dbe32ac8138667a2bd05411332d6f9f84155b8e263243f.jpg

73470dda9d3a51f3026798b56f04e7b013ad0d894b89669c5ce74b791244b7b7.jpg

At the time of writing, the crypto futures market is in a "risk-off" mode now with sell volumes building up on more volatile FTMUSDT and ETHUSDT futures while the buy volumes are building up on the less volatile BTCUSDT futures for the past few hours. 

If you like my analysis and articles, please follow me at @quantdoge for daily updates.

Follow My Twitter for daily updates: https://twitter.com/quantdoge 

How do you rate this article?


41

1

quantdoge
quantdoge

Data scientist in crypto and blockchain space.


Daily Crypto Risk Report
Daily Crypto Risk Report

This blog was created by quantdoge, a data scientist in the cryptocurrency and blockchain space to publish daily risk reports on different cryptocurrencies. All published reports in this blog were analyzed with in-house algorithmic trading and quantitative risk management technology. ** Investment disclaimer: ** I am not a registered investment, legal, or tax adviser or a broker/dealer, and all opinions expressed by me are from my research for educational purposes only.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.