Following reports of potential full reimbursements for FTX customers, FTX Token (FTT) has shown significant growth in the past day.
FTT has soared by 35.6% in the last 24 hours, currently trading at $2.16. The token’s market cap has surged to $710 million, ranking it as the 108th largest cryptocurrency. Notably, FTX Token hit a six-week peak of $2.27 around 05:00 UTC, a level last seen in mid-March.
Data from Santiment indicates that the FTT Relative Strength Index (RSI) has climbed from 57 to 62 over the past 24 hours. This suggests the token is currently overbought, potentially leading to heightened price volatility.
An RSI below the 50 mark could signal a gradual increase in FTT’s price.
It’s worth noting that FTX Token currently lacks utility but could still be utilized for creditor payments.
Recent reports reveal that FTX exchange holds billions of dollars more than required to cover the losses incurred by over two million customers in November 2022.
Santiment data shows 95 active FTT addresses in the past 24 hours, a significant increase from 61 daily active addresses over the previous two days. However, there remains a possibility of whale activity and market manipulation.
Additionally, FTT’s daily exchange inflow surged by 75% in the last 24 hours, totaling 302,950 tokens. Some investors and traders might seek short-term gains due to this sudden increase.
According to Santiment, 230 million out of the 328.8 million circulating FTT tokens are currently profitable.
Summary Review: FTX Token (FTT) has defied bearish market sentiment with an impressive 35% rally despite lacking utility at the moment. Reports of potential full reimbursements for FTX customers have fueled this surge, with FTT trading at $2.16 and reaching a six-week high. While the token’s Relative Strength Index indicates overbuying, the FTX exchange holds ample reserves to cover past losses. However, heightened whale activity and increased exchange inflows suggest a possibility of short-term profit-seeking behavior among investors and traders. With a significant portion of circulating FTT tokens currently in profit, the market remains dynamic and ripe for further developments.
Disclaimer: Remember that nothing in this article and everything under the responsibility of Web30 News should be interpreted as financial advice. The information provided is for entertainment and educational purposes only. Investing in cryptocurrency involves inherent risks and potential investors should be aware that capital is at risk and returns are never guaranteed. It is imperative that you conduct thorough research and consult with a qualified financial advisor before making any investment decision.
