The price of Filecoin, the world’s largest decentralized storage network, has soared over 20% in anticipation of the upcoming launch of their new Filecoin Virtual Machine (FVM). Scheduled for March 1st, the FVM is set to bring smart contracts and user programmability to the Filecoin blockchain, making it a fully-fledged Layer 1.
The FVM is based on the Ethereum Virtual Machine and supports multiple programming languages such as Solidity, Yul, and others. The addition of the FVM will allow users to store and manage data on-chain with the same level of security as the Filecoin blockchain.
The Layer-1 ecosystem is growing, and Filecoin is leading the charge by leveraging its competitive advantage in storage services to power other blockchains. Through interoperability with the EVM, Filecoin will unlock a myriad of use cases such as perpetual storage, decentralized finance (DeFi), data DAOs, and more.
It is worth mentioning that the FTM network aims for interoperability with the Ethereum Virtual Machine (EVM), enabling Filecoin to support multiple VMs. This will help in unleashing the enormous potential of an open data economy.
Ethereum has made it abundantly clear that the utilization of EVM and Layer-2 blockchain will not only lower gas fees but also significantly accelerate transactions.
While the crypto world eagerly awaits to experience the benefits of Filecoin Virtual Machine, many view it as a major advancement for the space. In fact, recent GitHub Daily Development Activity data places Filecoin ahead of Ethereum. This highlights its potential and could be an indicator of how big this development can be for cryptocurrency success in general.
Filecoin Recent Price Analysis
Filecoin is trading at $6.70, up by over 22.66% in the last 24 hours. The altcoin opened the daily trading session on a high bullish note, moving from a low of $5.38 to a high of $6.75 during the session. The market momentum prior to the FVM launch has been strong and steady, indicating optimism amongst investors and traders alike.
The Relative Strength Index (RSI) indicates that Filecoin is currently in Overbought territory, suggesting a short-term pullback could be on the horizon before further gains. However, the price action could remain range-bound between $6.00 and $7.00 in the short term.
The Moving Average Convergence Divergence is hovering above the red signal line, indicating bullish momentum. The MACD is likely to cross the red signal line if Filecoin continues to move upwards, adding further fuel to its bullish fire.
The Stochastic RSI is also in the Overbought region as the market volatility continues to increase. However, the Stochastic RSI is likely to remain above the overbought region in the near term as traders expect further gains with the FVM launch.
Overall, Filecoin’s recent performance indicates that investors are bullish about its upcoming developments, and there is speculation that the price could continue to rise in anticipation of its FVM launch.
