Since the memecoin successfully held $0.23, FARTCOIN has traded within a mini ascending channel, reaching a local high of $0.32.
At press time, FARTCOIN traded at $0.31, down 3.23% on daily charts. Before this slip, FARTCOIN had been on an upward trajectory, hiking by 3.21% on weekly charts.
With the memecoin signaling potential trend reversal, whales have taken notice and stepped in with strength.
Whale acquires $2.66 million worth of FARTCOIN
Interestingly, after FARTCOIN retraced from its attempted breakout, whales took the opportunity to accumulate.
In fact, FARTCOIN Top Holders have increased their holdings by 9.38% to 692.04 million tokens according to Nansen data.
Over the past four days, these addresses added 69.24 million FARTCOIN, while they only offloaded 18.08 million tokens.
As a result, the Top holders recorded a positive Balance Change of 51.16 million over the same window, reflecting aggressive whale accumulation.
Source: Nansen
Amid this whale accumulation spree, Onchain Lens observed one such whale. According to the monitor, a whale has spent $2.66 million to buy 8.58 million FARTCOIN.
Typically, when whales accumulate during periods of weakness, it signals strong confidence in the market. Thus, these participants view the market positively and expect a rebound in the near term.
Coupled with that, investors on Binance, Coinbase, and Bitstamp deployed significant funds into the memecoin, with buy volume outpacing selling.
Source: Coinalyze
At press time, the memecoin saw 5.17 million in Buy Volume compared to 4.12 million in Sell Volume. As a result, FARTCOIN recorded a positive market delta of 1.05 million, a clear signal of increased demand.
Buyers are not in control yet
Interestingly, while whales have increased accumulation, buyers have yet to take control of the market, and sellers remain strongly positioned.
The Buyers in Control (BIC) indicator on TradingView suggested that sellers have dominated the market for three consecutive weeks. In fact, buyers last controlled the market between the 23rd of November and the 8th of December.
Even more so, FARTCOIN’s Relative Strength Index (RSI) has largely remained within the bearish territory for the past 2 weeks, only touching 50 once. At press time, this indicator sat around 48, indicating seller control of the market.
Source: TradingView
Such market conditions leave FARTOIN in a risky position and could lead to further losses if demand fails to catch up.
Therefore, if whales continue to accumulate and effectively absorb the pressure, the memecoin could be strong enough to trigger a trend reversal. As such, FARTCOIN may reclaim $0.36 resistance and target $0.40, completing the bullish reversal.
Conversely, if the attempt fails and seller dominance prolongs, the memecoin could retrace to $0.28 and attempt another leg up.
