Quant-QNT
Yesterday, the FTX token price traded to its highest level since May’s crypto crash. If FTT maintains this momentum, could a new record be on the cards?
FTX token (FTT) is trading at $42.99, down $0.59 (-1.48%).
Over the last two weeks, the cryptocurrency market has staged a remarkable comeback. Bitcoin has convincingly reclaimed $40,000, and Ethereum has advanced to $3,000.
However, the FTX token price recovery has outpaced many of its rivals. Since the 16th of July, FTT has gained more than 90%, lifting its market cap from $2.2 billion to more than $4 billion in the process. Currently, the token is ranked as the 29th-largest cryptocurrency, slightly ahead of EOS.
FTX typically outperforms its larger rivals on the way up. This is evident in the fact that FTT is only 35% below its all-time of $66.83.
Recent news flow has been supportive, including the announcement the FTX exchange is teaming up with Dolphin entertainment to launch a Non-Fungible Token (FT) marketplace. This aims to take advantage of the NFT boom, which appears to be making a comeback over the last month.
The daily chart shows that the FTX token price is fighting to clear a horizontal band of resistance between $40.00 and $45.00.
If the price successfully clears this wall of resistance, it opens the door to May’s $66.83 high. However, this is a significant resistance area, and its penetration will depend on the broader market extending the recent gains.
Furthermore, the Relative Strength Index is stretched, and its 71.02 reading suggests FTT is overbought. This may lead to a period of consolidation or profit-taking.
Below the market, the 100-day moving average at $35.68 and the 200 at $34.80 provide robust support. Therefore, the outlook is positive as long as the price sustains $34.79. However, should FTX lose this support, it will invalidate the bullish view.
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