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FTX gained traction and surged nearly 3.3% intraday today. The bulls made a strong comeback in the recent sessions, which caused the FTX token to snap off the monthly losses. It may try to rise further.
Despite the optimistic projections in the short term, the long-term trend still awaits a breakout of an ascending triangle pattern developed over the daily chart. When writing, the FTT price lagged nearly 18% from the 200-day Exponential moving average.
However, the analysts have noted significant changes in the on-chain metrics, indicating the increasing presence of buyers in the market. Moreover, the price may take a bullish turn in the short term.
Improved Sentiments May Heighten the Demand
As per crypto analysts, the weighted sentiment curve has surpassed the zero line to shift its territory from negative to positive. The weighted sentiment curve represents the overall bias of traders and investors, whether bullish or bearish.
The shift in the curve from bearish to bullish reflected an increasing participation of the bulls. That may further surge the FTT price. Additionally, the transaction volume has grown by 60% to $22.27 Million a day, indicating a heightened demand.
Moreover, the volume-to-market capitalization ratio of 4.67% suggested low volatility. FTX’s market capitalization at press time was $459.94 Million. It ranked 123rd in the cryptoverse in terms of market cap.
This token has a circulating supply and a total supply of 328.89 million FTT tokens.
Can FTX Token Mark the End of the Correction
The daily chart shows a descending triangle pattern with the price currently retesting the upper trendline resistance. Improved sentiment and heightened demand could further push the price, triggering a breakout of the pattern.
A sustained breakout above the trendline resistance may validate a bullish reversal in the crypto, and the price may rise towards the supply of $2.16 level. The short-term trend outlook turned bullish above the 20-day and 50-day EMAs.
FTX Technical Indicators’ Assessment
When writing, the RSI line was at 51.1 points, and the 14 day SMA line was at 49.8 points. Both the lines were placed above the mean line and were heading upwards, indicating a bullish outlook in the short term.
FTX token surged 3.3% intraday, snapping monthly losses with bullish momentum. Despite short-term gains, a long-term breakout from an ascending triangle pattern was awaited.
FTT lagged 18% below the 200-day EMA. Analysts noted a shift in weighted sentiment from negative to positive, indicating increased bullish participation.
Moreover, the transaction volume grew 60% to $22.27 Million, suggesting heightened demand. The volume-to-market cap ratio of 4.67% indicated low volatility. The daily chart showed a descending triangle pattern, with the potential for a bullish reversal if the price breaks above trendline resistance.