• Mon. Sep 26th, 2022
1636615883769 10283722 a18f 41c5 a55d 28fa9d537c31
1636615883769 10283722 a18f 41c5 a55d 28fa9d537c31

  • FTX exchange has witnessed increasing trading volumes.

  • The exchange has remained stable while most crypto exchanges scaled down in the bear market.

  • FTT is correcting after failing a breakout for a second time.

FTX token FTT/USD is once again sliding after hitting the $32 level. This is the second time in less than a month that the token has hit the level. It suggests that buyers are still pushing to break above the resistance zone. Exhaustion is settling in again after a failed second breakout.

Exchange-linked tokens are driven by a surge in trading volumes. FTX has been a beneficiary of slowdowns in trading volumes in rivals Coinbase and OKX. For example, in May, trading volumes on FTX rose by 80.8% to hit $69.4 billion. Coinbase saw a rise of only 10%, while OKX trading volumes fell by 29.4%. The rise in trading volumes underlined trust in FTX’s stability as most peers scaled down.

FTX’s growing role in the crypto space has been highlighted in the price recovery of its token FTT. The token has been trading on a bullish trendline since bottoming at around $21 in June.

FTT rejected at resistance, forcing a bear weakness

1660768105577 0c738673 ff04 4168 bf38 37a53b6ddcf3Source – TradingView

The MACD line has crossed below the moving average after FTT failed to break the $32 barrier. The token is also breaking below the short-term 21-day MA. The slowdown indicates bull exhaustion as the price hit $32.

FTT will continue to slide in the next few days. However, the most likely reversal zone is around $28. The level is a support, and bulls could look to arrest the bear weakness before sliding below the 50-MA.

Summary

FTX token faces further declines. However, the token could reverse at $28 or the 50-day MA. The token needs to clear $32 before moving higher.

The post What next for the FTX token as it fails another breakout? appeared first on CoinJournal.

Ndasi Tata

Ndasi Tata is a Cameroonian-born Bitcoin entrepreneur and former state journalist. He earned an M.Sc from the University of Nicosia in Cyprus in Blockchain and Digital Currency. He uses a variety of social media channels to promote his ideas and projects , and he's a major proponent of Bitcoin in Africa.

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