Come join us Telegram channel to stay up to date with the latest news
The FTX token price rose 12% over the past 24 hours, trading at $2.60 as of 4:30 a.m. EST time, while trading volume skyrocketed nearly 300%.
It comes amid revived chatter around FTX after the exchange sold nearly $1 billion worth of Grayscale Bitcoin Trust (GBTC) exchange-traded funds (ETF). A person familiar with the matter told CoinDesk that the lion’s share of the outflow from Grayscale was FTX’s bankruptcy estate, which dumped 22 million shares worth the aforementioned amount.
SPOON: @FTX_Official sold about $1 billion @Grayscale‘S $GBTC since #bitcoinETF approval – which explains a large part of the outflow.@IanAllison123 reportshttps://t.co/9t04mPvFhT
— MuntDesk (@CoinDesk) January 22, 2024
Now that FTX has finished selling its sizable shares, which account for a third of Grayscale Bitcoin Trust’s total outflows, analysts basically expect the selling pressure to subside.
Wait, if $1 billion of sales were in GBTC FTX LIQUIDATORS as reported, that’s 1/3 of total outflows. That changes the whole picture!!!! That selling is now done.
We could actually get a rebound now and that could cause a short squeeze.
— Ran Neuner (@cryptomanran) January 22, 2024
FTX likely profited from the difference between the price of GBTC shares and the intrinsic value of the underlying BTC in the trust. According to a file as of November 3, 2023, FTX owned up to 22.3 million GBTC shares, worth approximately $597 million as of October 25, 2023.
Following the landmark approval of spot BTC ETFs on January 11, the value of these shares nearly doubled to approximately $900 million, closing the trading session at $40.69 per share.
Hypothesis confirmed…#FTX Sold 22 million shares worth $900 million #Grayscale‘S #Bitcoin #ETF
FTX had 22.3 million $GBTC(valued at $600 million on October 25 and 23)
Good for #FTX creditors, bad for the short term #BTC price & #GBTCgood for those who buy dips and appreciate their wealth #Bitcoin https://t.co/pzWCLjuwZ0
— Simon Dixon (@SimonDixonTwitt) January 22, 2024
With hopes of a creditor settlement that included the social media, FTX token, the FTT rose nearly 12% even as claims rose to 80 cents on the dollar.
Hopes of repayments to creditors were raised $FTT, the tokens of the now-defunct FTX exchange, rose 11%, with claims as high as 80 cents on the dollar. By means of @shauryamalwa.https://t.co/Jdc7zXHjth
— MuntDesk (@CoinDesk) January 23, 2024
FTX Token Price Outlook With Exchange Creditors Showing Renewed Hope
The FTX token price is consolidating around the critical support at $2.83. This is after updating a rising wedge pattern and confirming the bearish target with almost 50% in dump. With abundant overhead pressure indicated by the 100- and 50-day Simple Moving Averages, there could be a slowdown in the potential increase in the FTX token price.
Moreover, the Relative Strength Index (RSI) appears moderate and is moving horizontally with a slope towards the south. This shows that momentum continues to decline. The RSI’s position below 50 also indicates weak price strength, further accentuating the bearish thesis.
The Moving Average Convergence Divergence (MACD) is also moving horizontally into negative territory, increasing the odds for the bears.
If the bulls fail to take over the FTT market, the bears could take control, sending the FTX token price south. This could allow the altcoin’s price to test the psychological level of $2.00. In a worst-case scenario, the breakdown could send the altcoin nearly 65% below current levels to the $0.98 support floor.
TradingView: FTT/USDT 1-day chart
Reverse case
Increased buying pressure above current levels could see the FTX Token price overcome the USD 2.83 resistance level. Beyond this, it could confront the 100-day SMA at $2.99. Further north, gains could see FTT price test the 50-day SMA at $3.46. Above that, the path would be clear for the FTX Token price to target the psychological level of $4.00.
In the very bullish case, the gains could cause the FTX Token price to break past the psychological level of $5.00. Further ahead, it could regain the $5.59 resistance level, which was last tested on December 13.
The very ambitious case would involve the market value of the altcoin, turning this barricade into support. This could serve as a starting point to reach the $6.48 resistance level, which was last seen in November 2022 before Sam Bankman-Fried’s crypto empire crumbled.
However, as the FTT bulls fight to push the FTX token price towards regaining pre-FTX crash highs, investors are turning to LPX, which experts say may be the best. best AI cryptocurrency to invest in now.
Promising alternative to FTX token
LPX is the native crypto for the Launchpad XYZ ecosystem. This is a project that helps community members find the next 10X trades. The project helps community members become winners by uncovering the secrets of Web3 crypto trading.
????️ Tip of the day: Take advantage #Crypto trading tools for deeper market analysis.
Tools can offer valuable perspectives! #TradingTools #LaunchpadXYZ
— Launchpad.xyz (@launchpadlpx) January 19, 2024
The project aims to be at the heart of the next wave of Web3 users. To this end, it focuses on two core values. Firstly, it aims to make every trader independent, and secondly, to achieve decentralization.
???? Unleash the power of Apollo AI: your personal crypto advisor!
Gain insights, make informed decisions and conquer the world of crypto with confidence! ????
Join the revolution! ????#Web3 #Crypto #AI #Blockchain pic.twitter.com/sYKgswo0YH
— Launchpad.xyz (@launchpadlpx) January 17, 2024
Launchpad With the presale ending in less than a day, interested investors have no time to waste.
Visit Launchpad XYZ to pre-purchase LPX here.
Also read:
New Crypto Mining Platform – Bitcoin Minetrix
- Controlled by Coinsult
- Decentralized, secure cloud mining
- Earn free Bitcoin every day
- Native token now on pre-sale – BTCMTX
- Staking Rewards – Over 100% APY
Come join us Telegram channel to stay up to date with the latest news