As Bitcoin fell back below $40,000 after several weeks, the crypto market cap crumbled down toward below $2 trillion. Needless to say, Fantom took a plunge on their charts over the last several days. On the other hand, the technical picture of Fantom shows that this cryptocurrency could aim to see a gradual recovery from the last support level.

Fantom is a network of blockchains built on Ethereum, where new projects can be built and connected to the Ethereum mainnet. Although, with other Fantom bridging, Ethereum first has to be wrapped into WETH before being transferred, but not now, with the Narni liquidity bridge Ethereum doesn’t have to be wrapped, which makes the process of moving Ether between the Ethereum and the Fantom networks fast and cheap.

Fantom suffered after some key personnel left the team, such as Andre Cronje who is a prolific developer, and Anton Nell, a senior solutions architect. This has weakened the sentiment for Fantom coin, which was showing strength until the middle of January, as it retested all-time highs, although failed to make new record highs.

Fantom Daily Chart – FTM Has Fallen Below $1

The decline has precipitated for FTM 

Since then, the sentiment has been totally bearish for FTM and the negative sentiment in the crypto market has been weighing on this cryptocurrency. Moving averages have turned into resistance and after the break of the support zone around $0.90, the decline has picked further pace. The latest sell-off propelled a series of bearish engulfing candlesticks, as FTM fell to $0.63 over the weekend. Now this altcoin has lost nearly 80.5% of its value from the highs.

Yesterday we heard that the Pocket Network has added support for the Fantom Blockchain, so now node runners can now earn POKT by serving traffic from Fantom applications, tools and services. Before this, there were no full-node incentives on Fantom and only Fantom validator nodes were eligible to earn $FTM rewards for validating blocks. Now the integration with the Pocket Network allows developers to create Fantom RPC endpoints for their apps directly from the Pocket Portal. Although, let’s see if this will help Fantom coin to turn bullish because the decline has been so steep.