Analyst Javon notes FTT’s double-bottom pattern, suggesting a potential recovery above $20 with a 550% price climb.
RSI shows bullish divergence for FTT, supported by strong volume and a breakout above key resistance at $1.40.
The October 2024 golden cross signals long-term bullish momentum, with FTT targeting $3.70 and higher resistance levels.
FTX Token (FTT) is gaining attention for its possible bullish trend reversal, according to analyst Javon. Javon notes that the token is forming a double-bottom pattern, which is often associated with a major upward price movement. With high positive volume and recent breakout activity, the analyst suggests the token could aim for a recovery above $20, representing a potential 550% climb from current levels.
https://twitter.com/JavonTM1/status/1868866407301296353
Breakout Signals and Key Levels
FTT's price action recently transitioned from a persistent downtrend to a breakout phase. The token's downtrend, defined by a falling trendline, persisted until it reached a horizontal range between $0.95 and $1.40, which served as support and resistance, respectively. Notably, the price successfully broke above this resistance level, signaling a potential trend reversal.
The breakout was accompanied by a surge in trading volume, highlighting robust buying interest. Javon views this as an encouraging sign for bullish momentum. Javon suggests the token could retest its previous resistance, now acting as support, at approximately $1.35. If this level holds, FTT could target higher zones, such as $2.00, before progressing further.
Momentum Indicators and Historical Analogies
Momentum indicators such as the Relative Strength Index (RSI) provide additional confirmation of the bullish sentiment. During the downtrend, the RSI showed a bullish divergence, where the token's price made lower lows, but the RSI formed higher lows. This divergence often indicates weakening selling pressure and an upcoming reversal. The RSI remains on an upward movement, further supporting the bullish outlook.
Historical patterns offer further insight. A smaller inset within the analysis draws comparisons to the Dow Jones Industrial Average (DJIA), which experienced a similar double-bottom pattern followed by a strong breakout. The analogy shows the possibility of sustained bullish momentum for FTT if similar conditions persist.
Moving Averages and Future Projections
A detailed price trend analysis highlights the token's golden cross in October 2024, where the 50-period moving average (MA) crossed above the 200-period MA. This bullish crossover coincided with a price surge to $3.70. However, recent corrections have brought the price back to $2.58, aligning with the 200-period MA, which now acts as immediate support.
Source: Santiment
Despite the pullback, the golden cross remains valid, signaling long-term bullish momentum. Analysts emphasize that sustained buying pressure and volume could propel FTT toward retesting its $3.70 resistance. Breaking this level could open pathways to $4.00 and beyond, provided the bullish structure remains intact.
