Fantom<\/a>, surprisingly, happened to be one of the weirdest anomalies of the crypto-market last month. While the entire market depreciated in varying degrees, Fantom was busy breaking and making records. And, the biggest enabler of the same was none other than the king coin. That, however, has now become a problem for Fantom.<\/span><\/p>\n The surprise quotient here isn\u2019t that it hit a new all-time high. It is the fact that FTM managed to do it in a \u201cbear market.\u201d The same \u201cbear market\u201d which reduced Bitcoin<\/a> down to $42K on the price charts.<\/span><\/p>\n On 16 January, the altcoin closed at $3.31, just 20 cents above its previous ATH recorded in November 2021.\u00a0<\/span><\/p>\n Fantom price action <\/em> | Source: TradingView \u2013 AMBCrypto<\/a><\/p>\n<\/div>\n Perhaps, the most significant factor that came into play here was FTM\u2019s negative correlation with Bitcoin. On 17 January, for instance, FTM had a negative 0.53 correlation. It went on to fall further towards a yearly low of -0.64 on 21 January.<\/span><\/p>\n Over the next few days, alas, this correlation rose rapidly and Fantom began falling. Depreciating by 53.53%, Fantom fell to $1.53.\u00a0<\/span><\/p>\n However, as the correlation once again touched -0.05 and the price began rising, the rising correlation (0.37) became a problem. Right now, its effects are clearly visible on Fantom\u2019s price action.\u00a0<\/span><\/p>\n Fantom\u2019s correlation to Bitcoin <\/em> | Source: Intotheblock \u2013 AMBCrypto<\/a><\/p>\n<\/div>\n Thanks to political developments around the Russia \u2013 Ukraine conflict, global stock markets crashed. And, so did the crypto-market. While Bitcoin and most major altcoins dropped by over 10%, Fantom lost almost 17% of its value.<\/p>\n Fantom\u2019s investors will have to wait as it will be a while before they find the opportunity to become active again. Especially since their on-chain behaviour was significantly higher when prices were high.<\/p>\n In fact, transaction volumes, which were at $440 million at their highest, have dropped to just around $31 million.<\/p>\n Fantom\u2019s daily transaction volumes <\/em>| Source: Intotheblock \u2013 AMBCrypto<\/a><\/p>\n<\/div>\n Plus, since most FTM investors are mid-term holders, they will probably HODL for better opportunities, unlike Shiba Inu and Dogecoin holders who pump and dump around rallies.<\/span><\/p>\nFantom marked new ATH<\/strong><\/h4>\n
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