Filecoin remains hammered by the current high market volatility as it continues to trend lower. According to the latest market data, FIL fell rapidly by 18% compared to the previous week, which means a significant drop in value.
Investors remain shaken by the token’s current market losses. However, several events could repair the lost confidence in the token, but the question remains what impact they could have on FIL’s future performance.
Filecoin’s Win Streak
Despite a delicate start to August, this ecosystem still has aces up its sleeve that could turn the tide.
Yesterday, Account X Growth announced that they are partnering with the Filecoin Foundation to “help grow the Argentine cryptocurrency ecosystem” at Aleph, Argentina’s cryptocurrency event that aims to turn the country into the world’s cryptocurrency capital.
🏙️🇦🇷🌞 @FilFoundation joins forces with Aleph!@Filecoin Decentralized data storage ensures secure and productive data management using blockchain technology.
Join the team in August and see how they assist grow the Argentine cryptocurrency ecosystem! 🌐 photo:twitter.com/vEAUATRPec
— Growth 🔜 Aleph (@crecimientoar) August 2, 2024
The event will take place this month, and major crypto institutions will be supporting it. This will give the Filecoin Foundation a chance to expand its reach as the premier provider of decentralized storage within Web3.
Filecoin Station also presented another victory for the platform. On August 2, Station announced that in July, the platform saw a whopping 16,911 participants. This number only includes addresses that have completed work on the platform, but it remains significant because it shows the lively utilize of the Filecoin network.
The Station Network has reached a modern record of 16,911 participants* in July 2024. A huge thank you to everyone who runs the Station. We are committed to ensuring that everyone can join and contribute to Web3.
*(defined as unique FIL addresses ending tasks) photo: twitter.com/jSyri9dMZi
— Filecoin Station (@FilecoinStation) August 2, 2024
With a forceful focus on improving Filecoin’s data storage capabilities for Web 3, released Spark roadmap, a step-by-step improved version of the network that will improve the experience for users and developers.
This project will implement solutions such as better data quality, a public subsidy issuing system, modern tools for society and incentives for investors.
Spark’s improvements will solidify Filecoin’s position as a leading decentralized storage provider. Its entry into the AI world last month will also assist expand the token’s influence in the AI and data storage industries.
Slowing Bears Could Slow Weekly Losses
Filecoin bulls are still struggling to reverse the current market decline that FIL is experiencing. However, with the token’s current support at $3,570, we could see a resurgence in the medium to long term.
The current trajectory of the token remains worrying. However, if bulls manage to defend the current support level, the token has a chance to reclaim the levels from early July – around $4,394. The stabilization of the token price will be a consolation price for bulls, as it gives them forceful support for any move up.
Investors and traders should remain cautious, however, as market conditions continue to support forceful downward pressure on the market.
Featured image from Pexels, chart from TradingView