FET Drops 26% in a Week as Whales Send Mixed Signals

FET has seen a steep decline, dropping 26% in the past week as artificial intelligence tokens experience broader market weakness. 

As of press time, FET was trading at $0.7904, reflecting a 5.15% increase in the last 24 hours. With a 24-hour trading volume of $719.2 million, the token holds a market cap of $2.05 billion, supported by a circulating supply of 2.6 billion tokens.

Technical indicators show bearish momentum, with the price trading below the Golden Cross level of $1.002. The 50-day moving average at $1.2388 serves as a key resistance, while $0.7635 is the immediate support level. 

If selling pressure continues, FET could retest the $0.5000 psychological support.

Mixed Whale Activity Signals Market Uncertainty

Whale activity surrounding FET is sending mixed signals. On-chain data shows the number of addresses holding between 100,000 and 1,000,000 FET dropped from 404 to 389. 

Conversely, those holding between 1,000,000 and 10,000,000 FET increased from 166 to 180, suggesting that mid-sized holders are selling while larger whales are accumulating.

This contrasting behavior reflects uncertainty in the market. While larger whales accumulating could indicate confidence in a potential recovery, continued selling from smaller whales may prolong the bearish trend. 

Market participants closely monitor whale activity due to its potential impact on price movements.

Technical Indicators Confirm Bearish Trend

The FET/USD daily chart confirms a bearish outlook. The Awesome Oscillator (AO) has turned negative at -0.3421, indicating a rise in selling momentum. 

The Directional Movement Index (DMI) also shows a strong bearish trend, with the ADX at 37.31 and the -DI (38.82) significantly outpacing the +DI (8.23).

For a bullish recovery, FET would need to reclaim the $1.002 level and target $1.2388, the 50-day moving average. However, the current bearish structure suggests caution, with $0.7635 as a critical support. 

A breach of this level could open the door to further declines toward $0.5000.

Broader AI Token Weakness Weighs On FET

The correction in FET comes amid a broader decline in artificial intelligence tokens, which have faced increased selling pressure recently. 

Mid-sized whale sell-offs and weak momentum indicators add to the uncertainty surrounding FET’s short-term performance.

While larger whales are accumulating, the market remains divided on whether a bottom is forming or if more downside is expected. 

Traders are advised to monitor volume and price action closely to confirm the token’s next move.

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