FTX Token’s bearish move beneath the crucial $28.7 mark saw the alternative token retesting and eventually breaching the support at $25 (now closest resistance).
The latest patterned break led to crashes beneath the 7-week trend-line resistance on the 4hr chart. A decisive closing beneath the $25 foothold might see FTT heading lower before any upside revival chance.
Meanwhile, FTT might witness trend invalidation because of the high correlation with BTC plus broad market sentiment. While publishing this post, FTX Token changed hands at $25.127, 8.12% down within the past day.
FTX Token 4Hr Timeframe
The short-term picture reveals the climbing wedge breakdown by FTT dragged the altcoin beneath its 20 Exponential Moving Average and 50 Exponential Moving Average. Moreover, a decisive bearish crossover by these Exponential Moving Averages might impair the short-term buying efforts.
A closing under $25 might back short-term selling momentum to hit the $23 – $24 value area in the upcoming sessions. Nevertheless, immediate rebounds from $25 might delay the downside narratives. Such scenarios would see buyers targeting the EMA20 at $26 before reversals.
FTX Token Daily Timeframe
The daily chart shows FTT endured a massive reversal from 38.2%. Sustained closing beneath 23.6% might trigger a low volatility period around $24 – $25 in the upcoming days. Therefore, possible shorting targets stand at the $24 area. Moreover, the surging trading volumes confirm a massive bearish move within the 24hr slides.
The Relative Strength Index dropped beneath the midline after weakly steadying beyond the neutral 50. The indicator exhibits southbound tendencies, meaning a challenging journey by buyers to ensure a regime.
Moreover, the Chaikin Money Flow dropped under the zero line and authorized the bearish momentum. Meanwhile, comebacks within the trend-line support might support short-term recoveries.
Final Thought
Considering the break beneath $25 on FTT’s 4Hr chart plus patterned break & bearish indicators on the daily chart, FTX Token might hit the $23 – $24 value area. The aims would stay as highlighted above.
Meanwhile, bearish invalidation would need a bounce-back level at around $26. Moreover, enthusiasts should watch broad market and BTC tendencies, as FTT boasts a 58% monthly correlation with the dominant crypto.