Our Filecoin price prediction is not looking very bullish as the price is heading back to retest the March lows. FIL/USD appeared to have bottomed out when it reached $27.5 after hitting the $16.50 level. However, the rally stalled at $27.50, and the price dipped once again. At the time of writing, Filecoin is trading at $17.45, and it is 93% below its April 2021 ATH of $236.84.
It is a decentralised storage solution that aims to disrupt conventional centralised cloud storage. If you want to know ‘how to mine Filecoin’, you must know that it requires you to have some free disk space. The protocol rewards users who add their extra storage space to its network.
In other Filecoin news, the network boasts 16.4 EiB of storage space from 3,999 storage providers. Nevertheless, only a fraction of this storage space is being used at the moment, and the project needs more adoption. Filecoin price depends on the network adoption, which is lagging. The project might also face fierce competition from protocols like Arweave and Siacoin in the future.
Filecoin Price Prediction
Technical analysis of FIL/USD price chart shows that the coin has been trading below 200 EMA since Oct 2021. This also suggests that there is very little or no momentum to push the price in the upwards direction. Therefore, as long as the price stays below 200 EMA, Filecoin price prediction will remain bearish.
At the moment, Filecoin is trading inside a descending triangle. There seems to be strong support in the $16-$17 region as the price has bounced off this level many times. However, if the price breaks below this support, bears might get complete control over its future price action. Therefore, it is very significant for the bears to hold the current price levels.
The project became a big hit when it was launched in 2020. In the bull run of 2021, the price even soared to the $237 level, but the lack of adoption resulted in a major sell-off.