Fartcoin: Institutional Investors Exit While Retail Traders Attempt to Salvage Memecoin – Key Insights

As of April 19, 2025, Fartcoin is experiencing significant market activity, with smart money exiting positions while retail traders increase their long positions in an effort to stabilize the memecoin’s value. This divergence highlights the ongoing tension between institutional and retail participants in the volatile cryptocurrency market. Key technical indicators suggest potential price fluctuations ahead, making this a critical moment for Fartcoin holders. Market analysts are closely monitoring the situation for signs of a breakout or further decline.

Early signs of exhaustion

Fartcoin’s Daily Chart displays a textbook inverse head-and-shoulders formation, typically a bullish reversal signal. Price recently broke above the $0.679 support level and surged toward the neckline resistance at $0.986.

However, momentum stalled NEAR the neckline, and the price has since pulled back to the $0.75 region. This indicates possible exhaustion among buyers, especially as the breakout lacked follow-through.

Naturally, this signaled early exhaustion among buyers.

For confirmation, bulls would need to reclaim $0.986 with strong volume. Otherwise, a break below $0.679 might accelerate bearish sentiment.

Source: TradingView

Caution despite long bias?

On-chain sentiment shows subtle signs of recovery.

The Volume-Weighted Funding Rate, which had remained negative in early April, has now flipped back into positive territory.

This shift suggests improving trader confidence, as more participants are now paying to maintain long positions. It marks a reversal from the previous bearish dominance in funding behavior.

Source: Coinglass

However, despite this optimism, conviction remained shallow. At press time, longs made up 54.75% of taker volume; shorts, 45.25%.

Having said that, bulls only held a slight edge. Until funding metrics strengthen further, upside momentum might remain on thin ice.

Fartcoin liquidation points to…

Liquidation patterns reveal an increasing imbalance in trader positioning.

On the 18th of April alone, long liquidations reached $2.49 million, while shorts were liquidated for only $474K. This disparity suggests that overleveraged longs are getting wiped out at a much higher rate. 

Additionally, such heavy long-side liquidations typically lead to cascading price drops and panic-driven exits. If this trend continues, Fartcoin may struggle to find solid support. 

Source: Coinglass

Fartcoin sat at a pivotal crossroads. Recent whale accumulation suggests confidence, but the broader exodus by smart money reflects an opposing narrative.

The shift in Funding Rates point to improving sentiment, yet liquidation data paints a more cautious picture.

While the inverse head-and-shoulders structure offers technical hope, price action needs to reclaim $0.986 to affirm the bullish thesis.

Therefore, unless sentiment shifts and volume returns to the upside, caution remains the more prudent stance for traders in the near term.