Filecoin remains in trouble due to the heavy volatility of the current market, while the price continues to point downwards. According to the latest market data, FIL plummeted by 18% since last week, which represents a significant drop in value.
Investors remain shocked by the token’s current market losses. However, there are several developments that could restore lost confidence in the token, but it remains to be seen what impact these could have on FIL’s future performance.
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A series of wins for Filecoin
Despite a bad start in August, the ecosystem still has assets up its sleeve that could turn the tide.
Yesterday the X account Criticism announced that they are partnering with the Filecoin Foundation to “advance the Argentine crypto ecosystem” during Aleph, a crypto event in Argentina that aims to make the country the crypto capital of the world.
🏙️🇦🇷🌞 @FilStichting joins forces with Aleph!@Filecoin decentralized storage ensures secure and efficient data management using blockchain technology.
Check out the team in August to see how they are helping to advance Argentina’s crypto ecosystem! 🌐 pic.twitter.com/vEAUATRPec
— Crecimiento 🔜 Aleph (@crecimientoar) August 2, 2024
The event will be held this month, with major crypto institutions supporting the event. This gives the Filecoin Foundation an opportunity to expand the organization’s reach as the premier provider of decentralized storage within Web3.
Filecoin Station also presented another win for the platform. Back on August 2, Station announced that no fewer than 16,911 participants had participated on the platform in July. This number only represents addresses that have completed a task on the platform, but remains significant as it shows active use of the Filecoin network.
The Station Network reached a new record of 16,911 participants* in the network in July 2024. Thank you to everyone who runs a Station as we work to get everyone to join and contribute to Web3.
*(defined as unique FIL addresses that complete tasks) pic.twitter.com/jSyri9dMZi
— Filecoin Station (@FilecoinStation) August 2, 2024
With a big focus on improving Filecoin’s ability to store data for Web 3, they issued a roadmap for Spark, an incremental network upgrade that will improve the user and developer experience on the platform.
Features such as better data quality, a system for issuing government grants, new tools for the public and incentives for investors will be rolled out under this framework.
The Spark upgrades will cement Filecoin as a top decentralized storage provider. It is his entry into the world of AI last month will also help increase the token’s influence in the AI and data storage industries.
Slowing bears can delay weekly losses
Filecoin bulls are still struggling to avert the current market downturn that FIL is experiencing. But with the token’s current support at $3,570, we could see a revival in the medium to long term.
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The token’s current trajectory is still troubling. However, if the bulls can defend the current support level, the token has a chance to regain the early July level – around $4,394. Stabilizing the price of the token will be the bull’s consolation prize as it gives them strong support for any upward move.
However, investors and traders should remain cautious as market conditions remain favorable to the strong downward pressure present in the market.
Featured image from Pexels, chart from TradingView
