Breaking: Fantom ($FTM) Faces Turbulence Amid Coinbase Delisting
2025-01-10
Category: None

Overview
Fantom ( UPCOM:FTM ), a popular blockchain platform known for its speed and scalability, is under the spotlight following Coinbase’s decision to suspend its trading. This move, effective January 24, 2025, has sent ripples through the market, sparking fears of a potential price dip to $0.50. Despite this looming challenge,  UPCOM:FTM  has shown short-term resilience, with a slight uptick in its price. However, technical indicators suggest a bearish trajectory, warranting close observation from traders and investors alike.

The Delisting Announcement
Coinbase, one of the leading crypto exchanges, announced the suspension of  UPCOM:FTM -PERP trading across its platforms, including Coinbase International Exchange and Coinbase Advance. The final settlement price will be calculated based on the average index price 60 minutes before trading ceases. Open positions will be automatically settled at the time of suspension, with funding rates set to zero for the final funding period.

This announcement coincides with the ongoing scrutiny of Coinbase by the US Commodity Futures Trading Commission (CFTC) in connection to the Polymarket investigation. The regulatory body has issued a subpoena to Coinbase, seeking customer-related information, further adding to the uncertainty surrounding $FTM.

Current Market Performance
Despite the negative sentiment,  UPCOM:FTM ’s price has risen by 5.38% in the last 24 hours, reaching $0.6953. However, the token remains down by 11.80% over the past week and 41.62% over the past month. With a 24-hour trading volume increase of 0.35% and market cap growth of 6.56%,  UPCOM:FTM  appears to be attempting a recovery from its recent losses.

Nevertheless, bearish sentiments dominate, as evidenced by a volatility rate of 22.52%. The market’s response to the delisting announcement and regulatory developments will likely dictate the token’s short-term trajectory.

Upcoming Developments: Sonic Rebranding
In a bid to counter negative market sentiment, Fantom is undergoing a rebranding initiative. On January 13, 2025,  UPCOM:FTM  will transition to a new identity, “Sonic,” with a 1:1 token swap ratio. Binance, a major supporter of this transition, will enable deposits for Sonic on January 16, 2025, and open trading pairs shortly thereafter. This rebranding could provide a fresh narrative for the project, potentially mitigating some of the damage from the delisting.

Technical Analysis
As of this writing,  UPCOM:FTM ’s RSI stands at 39, indicating weak momentum and oversold conditions. The token’s chart reveals a falling wedge or bearish symmetrical triangle pattern, signaling a potential downward breakout. A close below the current candlestick could trigger a selling spree, with  UPCOM:FTM  potentially testing the $0.50 support level.

Fundamental Concerns
1. Regulatory Pressure: The CFTC’s investigation into Coinbase adds an additional layer of uncertainty, impacting both the exchange and tokens like  UPCOM:FTM  listed on it.

2. Market Sentiment: The delisting has raised questions about  UPCOM:FTM ’s future accessibility and liquidity, contributing to bearish market sentiment.

3. Rebranding Efforts: While the Sonic rebranding initiative is a positive development, its success will depend on market reception and execution.

Conclusion
Fantom ( UPCOM:FTM ) faces significant challenges following Coinbase’s delisting announcement and ongoing regulatory scrutiny. While the token’s short-term resilience is commendable, technical indicators and market sentiment suggest a bearish outlook. The upcoming rebranding to Sonic offers a glimmer of hope, but traders should remain cautious and monitor key support levels.
