Key Takeaways
- Filecoin value is about 70% lower than its ATH
- Filecoin recently announced working together with Flow Blockchain
- Filecoin reduced Filcoin daily emission by 23.8% on October 8.
Many investors believe that Filecoin (FIL) has slowed because its current value of $64 is more than 70% lower than the token's all-time high of $238.
However, this platform is seeing rapid and extensive usage, which may help the FIL's value rise more quickly.
The FIL currency is used to purchase storage space and data from the Filecoin network. In addition, when users exchange their unused storage space on the platform, they are paid. T
To compete in the cloud storage market, Filecoin has incentives to ensure that data is stored for an extended period of time with high dependability.
Earlier last month, the platform announced a referral scheme for users who invite a new member with datasets larger than 90TB.
The network reached nine million gigabytes in August, and they currently have over three thousand servers and storage providers providing services for over 400 apps, according to their website.
On October 13, the platform announced its collaboration with Flow Blockchain, which Labs supports.
The service will provide decentralized data storage for NFT and related media assets. Eternal, Versus, Starly, and Chainmonsters are all part of the Flow platform.
In addition, on October 15, the platform cut the Filecoin daily output by 23.8 percent to honor the one-year anniversary of the mainnet's launch.
That includes the 7.5 percent amount retained by early investors, which equates to around 150 million FIL tokens after about three years of issuing time.
The token's future open interest has increased by 45 percent since the end of last month, indicating that investors are becoming more interested in the token.
This indicator displays the total amount of contracts in play, regardless of whether they were exchanged on a certain date.
To establish whether the market is turning bullish, the continuous contracts financing rate must be estimated.
Even if the buyers' and sellers' open interest is always equal, there may be volatility in the leverage. When buyers begin to require higher leverage, the funding rate begins to rise. This suggests that they are the ones who pay the seller's fees.
When the seller requests more leverage, the funding rate tends to fall.
The chart above shows a brief period of excessive buyer leverage accumulation in September, when the funding rate reached 0.1 percent, or 2.1 percent in a week.
As the token value clashed with $80 resistance on October 8 but was unable to break past it, the token financing rate just passed 0.06 percent every 8-hour.
Currently, evidence reveals that investors are not very interested in Filecoin, despite the fact that the token's value is 70% lower than its ATH.
The new collaboration with Flow Blockchain, expanding network usage and capacity, and reduced token release all point to a likely continuation of the token's value-increasing trend. Nothing seemed capable of preventing Filecoin from reaching $90 to $107 by the end of next month.
Can Filecoin hit $100 by the end of November?
