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Information about Filecoin (FIL)
Filecoin is a decentralized platform that connects people who need to store/extract data with those who provide data storage space. The purpose of Filecoin is to store data in a decentralized way. Unlike cloud-storage companies like Amazon Web Services or Cloudflare, which are prone to centralization issues, Filecoin leverages its decentralized nature to protect the integrity of data locations, helping data be easily retrieved and difficult to censor. Filecoin can also provide file storage services for other decentralized platforms.
In Filecoin’s network, there are three main groups: Clients, Storage Miners, and Retrieval Miners with the following main functions:
Filecoin Token (FIL) is a cryptocurrency created for internal transactions in the Filecoin network. Clients use FIL to pay fees to store their data. Storage Miners are paid in FIL to make data storage hardware contributions. Retrieval Miners are paid in FIL for their contribution to data retrieval.
In addition, FIL is also used as a digital asset representing the Filecoin ecosystem. Users who own Filecoin Tokens will share profits based on Filecoin’s business growth results.
News
The announcement of the FILE/KRW trading pair by Upbit, South Korea’s largest crypto exchange, caused a rapid 11% price increase for Filecoin.
Following the launch, Filecoin experienced a significant uptick in trading activity, with its 24-hour trading volume reaching 520 million USD.
Despite a general decline in the cryptocurrency market, Filecoin has attracted considerable interest from Korean traders.
Filecoin’s price has surged by 10.35% in the past 24 hours, contributing to a notable 22.82% increase over the week. This upward trend reflects growing investor confidence, especially as the Total Value Locked in Filecoin’s protocols nears 100 million USD. This indicates increased investor interest and potential for further price gains.
Traders on Binance and OKX are showing a strong bullish sentiment towards Filecoin, with Long-to-Short ratios of 2.72 and 2.64, respectively. This indicates a majority of traders expect further price increases. A 21.1% surge in Open Interest also signifies heightened market activity. Breaking the resistance level of 6.97 USD may push Filecoin to 16.79 USD.
FIL experienced a significant drop of 13%, aligning with the trend observed in the CoinDesk 20 index where nearly all assets recorded a decrease. This signals a general bearish sentiment affecting the crypto market and impacting digital asset valuations.
Filecoin breaks downtrend: Filecoin has penetrated a multi-month descending trendline, signaling a potential bullish reversal. This breakout hints at diminishing selling pressure and growing buying interest, a promising sign for its price trajectory.
Targeting 30 USD in midterm: analysts project a target of 30 USD for Filecoin by midterm. Achieving this requires surmounting resistance levels and boosting trading volumes to solidify market confidence and sustain upward momentum.
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