Filecoin (FIL) emerges as the most trending and one of the highest-gained cryptocurrencies on the Coinmarketcap, thanks to its dramatic price increase over the past few days.
Even if a healthy ecosystem is present, it’s interesting that there doesn’t seem to be a compelling reason for this development. However, one must exercise caution in light of this unexpected rise, as a price correction seems to be approaching.
FIL has been mired in a low-volume, comparatively price-inactive slump for approximately six weeks. It hardly had any significant price increases until recently, when it displays a solid performance.
Why is Filecoin (FIL) Pumping hard?
According to a recent report, the venture capital firm Holon Global, which invests in digital assets, has launched three cryptocurrency funds, including Filecoin (FIL), Ethereum (ETH), and Bitcoin (BTC).
— Kairos Crypto (@KairosCrypto_) July 29, 2022
It is also apparent that the global cryptocurrency market has experienced a significant uptick over the past seven days as BTC, the market leader, surged over $24,000 after falling below that level in June 2022.
The global cryptocurrency market also recovered its trillion-dollar status after falling as low as $870 billion at the beginning of July.
Most major altcoin gains ranged from 7.6% to 15%, which is more than impressive given the circumstances. Unfortunately, there is still a lot of market resistance, therefore it is too early to call this a bull market.
It could also be argued that Filecoin (FIL) is one of the oldest projects in the crypto space, but over 80% gain in a week seems to be entirely out of ordinary.