Filecoin (FIL) experienced a sharp 5.6% drop over the last 24 hours, as market-wide selling pressure intensified. The price plunged from $2.66 to $2.51, according to technical data, placing the decentralized storage token at a critical support level of $2.50.
The decline follows a 7.52% intraday volatility, highlighting an unstable trading environment driven by aggressive selling activity across the crypto sector.
Heaviest Selling During Peak Market Hours
Analysis of market behavior shows that the most intense selling occurred between July 14, 14:00 UTC and July 15, 03:00 UTC, when FIL fell from $2.65 to $2.46. During this period, trading volumes surged, peaking at over 6.3 million FIL tokens, signaling strong bearish sentiment.
This significant increase in volume during downtrends typically confirms that sellers are dominating the market, creating downward momentum. Traders are now closely watching the $2.50 support level, which has held thus far but remains fragile under pressure.
Resistance Forming at $2.66
Technical indicators now point to a clear resistance zone around $2.66, the price point from which FIL began its recent downward slide. As long as supply outweighs demand above this range, any bullish recovery could remain limited.
Short-term traders may expect continued price consolidation between $2.50 and $2.66, unless broader market dynamics shift or Filecoin-specific catalysts emerge.
Partnership News Fails to Halt Slide
Interestingly, the price decline comes shortly after Filecoin announced a strategic collaboration with the Avalanche blockchain, aimed at enhancing smart contract processing and decentralized data storage. Despite the long-term positive implications of the partnership, the market response suggests immediate sentiment is more reactive to macroeconomic factors and liquidity movements.
FIL Holds the Line at $2.50 — For Now
While the $2.50 support zone remains intact, continued pressure from broader crypto market retracement could test its strength. Traders should monitor volume surges and price behavior near resistance at $2.66 to assess whether FIL is primed for a bounce or a deeper correction.
For now, Filecoin’s performance reflects a cautious market mood, with technical patterns suggesting short-term volatility and resistance to upward breakouts.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.