Top Reasons Why Filecoin Price Might Hit $20 Soon

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Filecoin has surged more than 115% in one month, heading towards the $20 price milestone after years of being constant at the $5 price range. It might be because of the current bullish situation or the new partnerships. The market is in a bullish situation where various coins have performed well over time. The most awaited moment is for Ethereum to hit 4k which might happen any day now.

This blog will cover why Filecoin prices are rising and what factors will push it to the $20 mark.

Overview Of Filecoin Price

Filecoin is a blockchain-supported decentralized storage system that helps in storing important data. Its first description was about getting launched as an incentive layer for the Interplanetary File System to private data storage services. Filecoin is a native token called FIL, used for transactions and paying for the storage services on the platform.

As per the Co-founder of Syncracy Capital, Daniel Cheung, Filecoin is much more than a storage system. It has compute and retrieval functionalities. Further on, he concluded it is a strong contender in the AI narrative because of its data network centers.

Filecoin price is currently at $11.47 after a monthly hike of 115%, and in the last one day, it has spiked more than 12%. What’s impressive right now is its trading volume, which has surged by 125% in just a day, getting it to $1,132,615,216. It’s ranked at the 22nd position of coinmarketcap with its market cap value of $5,988,576,977, after a surge of 12.46%.

Reasons Why Filecoin Price Might Hit $20 Soon?

Filecoin price is currently at its highest peak of the last 22 months. It has surged more than 115% in just a month from $5.8108 to $11.47. The last time it rose to this high was on 9 May 2022, when the trading volume was around $520.76 M.

From the start of March, FIL has indicated bullish behavior. Also, Coinglass data reveals a sharp increase of 4% in open interest, pushing it to $429.90 Million. It is a sign of grown investor interest and a long run ahead.

Recently, BVMnetwork announced its integration with Filecoin and  LighthouseWeb3 to work on the security and scalability of Bitcoin Layer 2 solutions. In the X post, Bitcoin Virtual Machine (BMVnetwork) mentioned that with the help of Filecoin’s decentralized storage capability, they can store transaction archives once they fall out of a DA layer. It will make the indexing process easier for the Bitcoin builders with the help of Lighthouse Node Aggregators.

@filecoin is now available on @BVMnetwork as a storage layer via @LighthouseWeb3!

This is a massive upgrade for the #Bitcoin L2s powered by BVM & Filecoin with heightened security and scalability

By leveraging Filecoin’s decentralized storage capabilities, BVM has the… pic.twitter.com/N0k8ZnOrmm

— Bitcoin Virtual Machine (@BVMnetwork) March 8, 2024

Hence, it might be possible for Filecoin price to hit $20 in the next few months because of its increasing demand and popularity in the market. Some analysts have predicted that FIL might hit $18 within this month. Further on, it will keep moving to the target of $96 with a gain of 915%.

Conclusion

Filecoin price has surged the highest in the past few intervals. Its unique use case and growing popularity will lead to a better price performance in the future. It has to see whether the bullish trend will be able to push FIL to a higher mark or if the bears will intervene. But for now, its recent price growth has made the investors actively looking for the possibility of hitting a higher profit anytime soon. Read more about crypto gainers of the week.

The post Top Reasons Why Filecoin Price Might Hit $20 Soon appeared first on CoinGape.

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