FTX Price Back To Multi-Month Support Of $22; Buy Again?

A V-top reversal from the $26.5 local resistance undermines the recent recovery in FTX price. Since last week, the coin price registered a 17% loss, reaching the bottom support of $22. However, this accumulation zone should revive the bullish momentum for a potential upswing to $32.5.

Key points

The FTX price struggles to sustain above the $22 support zone
A breakdown below the $22 support will intensify the seeing pressure for a prolonged downfall
The intraday trading volume in the FTT token is $656 Million, indicating a 20% gain.

Source- Tradingview

Amid the ongoing crisis surrounding the crypto exchange FTX, the prices revisit the multi-month support of $22. Over the past five months, the altcoin has rebounded from this support multiple times, indicating the trades are actively buying at this support.

Furthermore, the daily time frame chart shows the FTX coin has been stuck in a range-bound rally for nearly six months. Moreover, this price range is spread from $32.5 resistance to $22 bottom support.

Though in theory, a rectangular pattern usually supports the prevailing trend, which is currently bearish. A daily candle closing below $22 would intensify the bearish momentum and continue the downward spiral. Thus, the post-breakdown fall could likely hit the $20 psychological level.

However, if buyers managed to replenish the bullish momentum at $22, the altcoin could witness another recovery cycle. A bullish reversal from the aforementioned support should push the FTX prices to $32.5 resistance in an ideal case scenario. 

However, a potential bull run could face multiple resistance head, such as $24, $26.5, and $28.84, before hitting the $32.5 mark.

Technical indicator

Relative Strength Index: a bullish divergence in the daily-RSI slope reflects the buying activity is rising at $22 support. 

EMAs: the coin price trading below the crucial EMAs(20, 50, 100, and 200) accentuates an overall downtrend. Moreover, the technical chart shows the 100-day EMA has acted as a dynamic resistance during bullish upswings.

FTX Coin Price Intraday Levels

Spot rate: $22
Trend: Sideways
Volatility: High
Resistance levels- $24 and $26.5
Support levels- $22 and $20