The Artificial Superintelligence Alliance (FET) is on the rise, gaining 31% over the past week. This increase is largely due to more whales accumulating the asset, showing that big investors are taking a keen interest.

FET’s price jump has brought it close to the upper edge of the horizontal channel it has been trading in since June. The big question now is whether this momentum will lead to a breakout above this important resistance level.

BeInCrypto's analysis highlights a significant uptick in whale activity for FET recently. According to data from Santiment, addresses holding between 10 million and 100 million FET tokens have bought a total of 106 million tokens. That’s worth about $174 million at current prices.

When whales accumulate more tokens, it usually signals confidence in the asset's future value. This increased demand can also spark interest from retail investors, which raises buying pressure and pushes the price up.

The surge in whale accumulation is mainly due to FET being viewed as undervalued. Its negative market value to realized value (MVRV) ratio is currently at -86.25%. This ratio compares the asset's market cap to the total value of coins bought at their realized price, helping to determine if the asset is overvalued or undervalued.

Investors often see negative MVRV ratios as a buying opportunity. They recognize that the asset is trading below its historical acquisition cost, which suggests a potential rebound. This expectation has led FET whales to increase their holdings in recent days.

On the daily chart, FET has been moving within a horizontal channel since June. This means its price has been fluctuating between set support and resistance levels, indicating a period of consolidation. Since June, FET has faced resistance at $1.72 and has found support at $1.09.

As of now, FET is trading at $1.63 and is trying to break above the upper line of this channel. If it succeeds, we could see the price rise to $2.09. However, if it fails to break through resistance, the price may drop to the support level of $1.35.