While DePIN coins have done well lately, they have not broken out yet, collectively. The breakout of Filecoin (FIL) might finally accelerate the bull run in DePIN coins.
Related – The Crypto Bull Market 2024 Is Here. It Is An Hidden Bull Market.
As said, the price of Filecoin (FIL) is breaking out. While not confirmed, the setup is just so immensely powerful.
FIL breakout happening – prime time is here or near
Below is the Filecoin (FIL) price chart, on day #2 of the breakout.
What makes us believe that Filecoin’s price will confirm its breakout, either this week or otherwise in the coming weeks? There are 3 reasons why we believe so.
First, as seen on the above chart, Filecoin is now crossing its falling trendline. As annotated, it’s the 3d falling trendline that FIL clears, since the big decline of 2022. We have seen, consistently, in recent years, a similar pattern among outperforming tokens in recent years as a breakout confirmation.
Second, the chart setup of FIL is very bullish. The chart below, without annotations, helps in identifying the bullish strength of the chart.
Third, as explained in alt season 2024 is here, altcoins are breaking out. While it may not feel as a breakout, at this point in time, the truth is that they are coming out of a long base which implies that the uptrend may start slowly. So, be careful not to mix up facts with feelings.
The ongoing breakout of Filecoin may work out immediately. It might also need a bit more time, expressed in days or weeks. We believe Filecoin (FIL) will confirm its breakout either this week, not later than March of 2024.
FIL breakout will lead to DePIN breakout?
What does the Filecoin (FIL) breakout imply?
If anything, it implies that FIL is ready to move to those higher targets which we indicated on its chart (see above). So, crypto investors may want to enjoy the ride higher, take some profits along the way to ensure they keep ‘free tokens’.
Equally important is the symbolic meaning of Filecoin’s breakout.
As the token with the largest market cap in the group of DePIN coins it might symbolize the start of the bull run in that crypto segment.
Decentralized physical infrastructure networks (DePIN) refer to the application of blockchain technology and decentralization principles to physical infrastructure and systems. (source)
Below is the DePIN coin list. Filecoin now made it to the top the list of leaders in the last 7 days, along with Arweave, Siacoin, Livepeer and Ocean Protocol.
It would make so much sense for the largest cap token in a segment like DePIN to kick off a bull run in the entire group of tokens. While some DePIN coins, like Siacoin and Arweave, did tremendously well this in the last 7 days, there is no broad based participation, not yet. Filecoin might be triggering this broader participation to the rally, maybe not immediately, certainly in the coming weeks.
We might initiate positions in DePIN coins in our premium service. If anything, we were focused on finding a potential 100-bagger (article in the research area, requires a log in), and we might have found it.
