FartCoin Drops 7% After $1.64 Rejection, Tests Key $1.05 Support on Solana
Introduction: FartCoin Faces Sharp Correction After Failed Breakout
FartCoin (FART), a meme-based cryptocurrency launched in October 2024 on the Solana blockchain, has experienced a sharp 7.1% decline after being rejected at the $1.64 resistance level. As of the latest check on Friday, the token was trading around $1.31, with market participants closely monitoring whether the key $1.05 support level will hold.
The rejection at $1.64 was significant—not only did it form a bearish engulfing candle on the daily chart, but it also confirmed a classic liquidity grab, where price briefly spiked above resistance before reversing aggressively. With no clear bottoming structure yet in place, further downside toward the $1.05 support zone appears likely.
This article breaks down the technical and market dynamics behind FartCoin’s recent price action, analyzes key support and resistance levels, and explores what traders should watch next.
The $1.64 Rejection: A Liquidity Grab and Bearish Reversal
FartCoin’s recent rally peaked at $1.64 before facing strong selling pressure. This level was critical because it aligned with a prior swing high—a point where previous buyers may have been trapped or where short sellers placed their stops. The subsequent rejection formed a bearish engulfing candle, signaling a shift in momentum from bullish to bearish in the short term.
Key Observations:
- Liquidity Grab Confirmed: The wick above $1.64 suggests market makers or large traders triggered stop orders before reversing direction.
- Bearish Engulfing Candle: A strong daily close below the prior candle’s low reinforced bearish sentiment.
- Volume Spike: Climactic volume accompanied the rejection, indicating potential exhaustion among buyers.
Historically, such rejections often lead to deeper pullbacks as traders take profits and new sellers enter the market.
$1.05 Support: The Make-or-Break Level for FartCoin Bulls
The next major support for FartCoin lies at $1.05—a confluence zone where multiple technical factors align:
- Point of Control (POC): The price level with the highest trading volume, acting as a magnet for price retests.
- 0.618 Fibonacci Retracement: A common reversal level in crypto markets derived from the recent swing low to high move.
- High Time Frame (HTF) Support: A historically significant area where buyers have previously stepped in.
Why This Level Matters
If FartCoin holds above $1.05, it could establish a higher low—a bullish structure that may lead to another attempt at breaking $1.64 resistance. However, a breakdown below this level could trigger further downside toward $0.90 or even a retest of previous swing lows, shifting market structure into a broader consolidation range ($0.90 - $1.64).
Market Structure: No Bottom Yet, Correction Still in Play
At present, FartCoin remains in an active correction phase with no confirmed reversal signals:
- No Bullish Divergence: Indicators like RSI or MACD have yet to show oversold conditions with bullish momentum shifts.
- Lower Highs & Lows: The price continues to print lower highs and lows on intraday timeframes, reinforcing bearish control.
- Volume Trends: Declining buy-side volume suggests weak demand at current levels, increasing the likelihood of further downside before stabilization occurs.
Traders should remain cautious until a clear bottoming pattern (e.g., double bottom, bullish divergence) forms near key support levels like $1.05.
Historical Context: How Meme Coins Behave During Corrections
Meme coins like FartCoin are known for extreme volatility—sharp rallies followed by equally aggressive corrections are common due to speculative trading behavior and lower liquidity compared to major assets like Bitcoin or Ethereum.
Comparisons to Other Meme Coins
- Dogecoin (DOGE) & Shiba Inu (SHIB): Often see 20-30% pullbacks after failed breakouts before stabilizing at key Fib levels (0.5 or 0.618 retracements).
- Solana-Based Meme Coins: Tokens like Bonk (BONK) have shown similar patterns—sharp rejections followed by tests of high-volume support zones before rebounding or breaking down further.
Given this history, FartCoin’s current pullback is not unusual but requires careful monitoring for signs of buyer exhaustion or accumulation near support levels like $1.05.
What Traders Should Watch Next
Bullish Scenario:
- A strong bounce from $1.05 with increasing volume could signal buyer interest and set up a retest of $1.30-$1.64 resistance zones.
- A higher low formation would improve bullish prospects for another upward move.
Bearish Scenario:
- A daily close below $1.05 opens the door for further declines toward $0.90 or lower if selling pressure persists.
- Continued low volume on bounces would indicate weak demand and increase downside risks.
Key Levels to Monitor:
- Resistance: $1.30 (short-term), then $1.64 (major swing high).
- Support: $1.05 (critical), followed by $0.90 (next major demand zone).
Conclusion: Patience Required as FartCoin Seeks Stability
FartCoin’s 7% drop following its rejection at $1.64 highlights the volatile nature of meme coins—particularly those on high-speed blockchains like Solana where liquidity can shift rapidly between trends and corrections alike until clear support is established again near key technical areas such as POC ($~$~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.~ ~$.