Fartcoin price plummeted below the $0.65 support on Saturday, Feb 1, rising trading volumes suggest major downside risks ahead.

Fartcoin (FART) Dives Below $0.65 as Trump Token Disrupts Solana Memecoin Sector

Fartcoin (FART) emerged as a standout performer within the Solana memecoin ecosystem in December 2024. Its meteoric rise captured market attention, surging 1,180% between December 1 and January 19, reaching an all-time high of $2.11 and securing a $2 billion market cap. However, the official launch of the TRUMP token has disrupted the Solana memecoin space, seemingly draining liquidity and attention away from FART. Over the past 14 days, FART has suffered a staggering 77% decline, trading below $0.65 at press time on Saturday.

Fartcoin Price Action | FARTUSDT

The timing of FART price decline directly correlates with TRUMP’s entry into the market, highlighting a significant shift in trader sentiment. Fartcoin (FART) price fell below the $0.65 mark on Saturday, February 1, down 77% since the launch of the TRUMP token on the Solana network. 

Once a breakout star in the memecoin sector, Fartcoin’s market capitalization has now fallen below $700 million, a sharp decline from its global peak of $2.2 billion. Despite its plummeting price, trading volumes are on the rise, signaling intensified sell-offs after retreating from an all-time high of $2.11 on January 19.

Rising FART Trading Volume Signals Active Sell-Offs

Recent Fartcoin trading volume trends suggest that an accelerated price dip could be unfolding. Santiment’s trading volume metric, which tracks daily demand for crypto assets, indicates that FART’s trading volume surged to a record 624 million FART on January 19, more than double the previous peak of 270 million recorded in December.

Fartcoin (FART) Price vs. Trading Volume | Source: Santiment

The data reveals that FART’s trading volume exceeded its December peak of 270 million FART on nine separate occasions throughout January. While higher trading volume typically signals increased market participation, the ongoing decline in FART’s price alongside rising volume suggests that sell-side pressure is mounting.

FART’s steep 77% correction, coupled with escalating trading volumes, raises major downside risks. Historically, increasing sell volume amid a price decline often signifies capitulation, which could lead to further downward spirals unless significant buying support emerges. If this trend continues unchecked, FART risks slipping below the $0.50 mark, a psychological threshold that could further accelerate panic selling.

For now, Fartcoin holders face a pivotal moment: Either renewed demand stabilizes price action, or sustained outflows drive FART into deeper declines. With TRUMP token dominating market narratives, Fartcoin’s next moves will determine whether it remains a relevant player in the volatile Solana memecoin sector.

Fartcoin price forecast: Close Below $0.65 Could Trigger Downside Risks 

Fartcoin’s price action has taken a sharp bearish turn, plunging 77% from its all-time high of $2.11 on January 19 to trade around $0.66 at press time. 

The steep decline follows the official launch of the TRUMP token, which has drained liquidity from the broader Solana memecoin sector. The 14-day sell-off period has been accompanied by heightened trading volume, with 107 million FART tokens exchanging hands, signaling persistent downward pressure.

Fartcoin (FART) Price Forecast

The technical chart highlights a stark contrast between the previous 49-day bull run, which saw FART surge 1,189%, and the ongoing correction. The retracement has broken key psychological support levels, and a daily close below $0.65 could exacerbate bearish momentum. If the current trend persists, downside targets near $0.50 and $0.35 could come into play, given the absence of strong demand zones on the chart.

On the bullish side, FART’s price has begun consolidating within a tight range, suggesting potential exhaustion among sellers. A recovery above $1.00 could signal renewed confidence and attract buyers looking for a reversal. However, without a sustained breakout above $1.40, the prevailing trend remains bearish, keeping downside risks elevated.

The post What Next for Fartcoin (FART) after losing $1B Unicorn status to TRUMP token ?  appeared first on CoinGape.

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Filed under: News - @ February 2, 2025 1:18 am