- Filecoin price has jumped sharply in the past few weeks.
- Investors have cheered the growth of the Filecoin Virtual Machine (FVM).
- The FVM platform has continued gaining traction among developers.
Filecoin price continued soaring as investors cheered the ongoing growth of Filecoin Virtual Machine. The FIL token jumped to a high of $4.96 on Monday, the highest level since June 3rd of this year. It has jumped by more than 60% from the lowest level in June.
FVM growth momentum
Filecoin has been on a growth path this year. Three months ago, the developers launched the Filecoin Virtual Machine (FVM), the biggest upgrade to its network.
FVM was a software upgrade that made it possible for developers to build decentralized applications (dApps) in all industries. It is also compatible with Ethereum Virtual Machine (EVM), the software that handles Ethereum transactions.
The most recent data shows that the FVM has been highly successful. For one, the total value locked (TVL) in the ecosystem has grown to a record high of over $29 million. In FIL terms, the TVL in its ecosystem jumped to an all-time high of 7.07 IL tokens. The biggest DeFi platforms in the ecosystem are STFIL, GLIF Pools Infinity, and Filet Finance.
Read more: How to buy Filecoin.
The benefit of Filecoin’s FVM is that it allows developers to take advantage of the network’s storage capacity. Filecoin has a capacity of 11.6 EiB of storage capacity that comes from over 3,502 providers. There are over 3,052 projects in the ecosystem.
The other benefit of Filecoin is that the developers have built additional computing tools that developers can use to build applications. Its compute tools are similar to those offered by Microsoft Azure and Amazon AWS.
Like other cryptocurrencies, Filecoin price has also jumped because of the positive mood in the industry. The fear and greed index in crypto has turned green while Bitcoin has remained steady above $30,000. Crypto volume has also jumped in the past few months.
Filecoin price prediction
The 4H chart shows that the FIL price has been in a strong bullish trend in the past few weeks. As it rose, it moved above the ascending channel shown in black. It also jumped above the important resistance level at $4.27, the highest level on June 25th.
FIL price has also moved above the 25-period and 50-period moving averages while volume has been in a steady increase in the same period. It also moved slightly above the small bullish pennant pattern.
Therefore, Filecoin price will likely continue rising as buyers target the key resistance level at $5.02, the highest point in June. A move above this level will see it rise to the next level at $5.50.
