FTX’s new exchange token FTT, started officially trading on the open market on July 31st 2019. At the launch the asset began surging towards $2.68 before heavily dumping near the $1 where support was found. Since then, FTT has been creating higher lows and higher highs, signs of a bullish market structure.
Yesterday, as the entire crypto-market was in the red, FTT had a surge of its own, boosting the price by over 17% in less than 24 hours.
Give the fact that FTT has been trading on the open market for a relatively short period of time, there isn’t a lot of data when it comes to technical analysis, especially given the fact that it is currently in price exploration.
As price crossed the monthly $2.68 level, FTT started hitting new all-time highs. By looking at the weekly chart, we can see that this entire bullish move from yesterday was wiped out by today’s candle. If the weekly candle closes at its current state, or as a bearish engulfing candle, then further downside is plausible.
However, taking a look at the daily timeframe and the volume we can see a different image being communicated.
First off, for further upside, price will need to close today’s candle above $2.68. If the opposite happens then the grey [$2.11-$2.21] area will be on the cards.
Looking at the volume, we can see a large surge yesterday, which is what we’d like to see in bullish trends. But the interesting part is today’s candle, the volume has dramatically decreased which communicates that further upside is likely to occur. It is important to note that there are almost 11 hours left for today’s candle closure and hence more volume can be registered, however that same image is communicated on LTFs.
Where will price go next? As we do not have any data to find S/R, we can only use Fibonacci levels to project these. By that measure, the next upside target would potentially be near $3.5. Of course, for a chance to take place, it is necessary for the daily candle to close above $2.68.