The Flare [FLR] Improvement Proposal (FIP) 16 passed earlier this year in April with 98.06% in favor. The proposal restructured FLR issuance, burn rate, transaction fees, and protocol revenue.
Most of the roadmap is live, and a DeFiLlama report shows the effects onchain. The Layer 1 EVM chain’s token issuance fell from 5% to 3% in May. Flare Network now has 21 billion FLR staked, up from 16 billion tokens in July.
The staked share of staked-or-delegated FLR climbed from 32% in July to 46% in late August, securing the network and removing tokens from immediate circulating supply. Moreover, after the July 14 hard fork, the current burn rate has increased at least tenfold.
Lower inflation and a burn rate orders of magnitude higher than a few months ago, combined with growing protocol revenue, were good news for users and holders. How has FLR price reacted to these developments?
The weekly Flare crypto chart outlines a clear price trend
The Flare crypto price trend has been bearish and has seen sliding prices since late September. Its weekly swing structure turned bearish in December 2025 after FLR slipped below the $0.0121 low.
The RSI has remained below neutral 50 since October 2025. Meanwhile, the OBV has continued its persistent downtrend. Neither the downward momentum nor steady selling pressure has reversed.
The $0.00725 level acted as support in April. Flare is now testing that former support as resistance.
Traders’ call to action- Respect the long-term trend
The drop from $0.00829 to $0.00585 in recent months marked the latest swing move on the daily timeframe. In August, FLR twice rallied to the $0.0080 area, just above the 78.6% Fibonacci retracement level at $0.00776.
Twice, the bulls faced rejection. Since the high of $0.00825 made on the 31st of August, FLR is down by 20.9%. The technical indicators were not in favor of the bulls either.
It appeared likely that the higher timeframe trend would be respected, and Flare crypto would descend toward new lows.
The growing adoption and encouraging onchain signs seen earlier could lead to a sentiment turnaround. A price move above $0.00829 would break the bearish structure and serve as the first sign of a bullish trend shift.
Final Summary
- The FIP 16 passed in April with resounding support. Most of the roadmap is now live, and the effects are visible onchain.
- At the same time, the Flare crypto long-term price trends remained bearish.
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