FTT stabilized at the $24 support level.
FTX exchange acquires BlockFi for $240 million.
The crypto sector is under bearish pressure amid macroeconomic factors.
FTT and other crypto-exchange-native tokens have been resilient as the cryptocurrency industry faces bearish pressure. Since trading at $27, FTT is down just 9.6% over the past month, according to CoinMarketCap.
In contrast, Bitcoin plummeted 36% in a bearish market due to macroeconomic factors. Fed rate hikes and political turmoil in Europe have shifted attention to less risky assets.
The FTT token is currently trading at $24.4 after gaining 0.65% over the past day, but it is still down 8.98% last week. Overall, the coin is trading 69% below its all-time high of $76.4.
FTX gets option to buy BlockFi for $240M
FTX has signed an option to buy troubled crypto lender BlockFi for $240 million to benefit from the bearish crypto space. The deal also includes a $400 million revolving credit facility to lenders. While the announcement has yet to affect the value of the FTT token, investors are expected to benefit from the expansion’s long-term benefits.
FTX has also been keen on its geographic expansion. The exchange received a license to operate a virtual asset exchange and clearinghouse service in the UAE in the first quarter. In addition, the company’s European subsidiary is licensed to provide services to institutional investors.
FTT stabilizes at $24 support
Looking at the daily technical outlook above, FTT is consolidating at support at $24 after falling below $35. The coin has been on a steady decline since reaching a high of $51 in late March. The RSI is at 42, confirming that the coin has not entered the oversold territory and further downward momentum can be seen. As the coin is at a key support level, a break below this level will weaken further and FTT could be headed lower.
As macroeconomic factors continue to weigh on various crypto assets, FTT will remain largely bearish until the trend reverses. If the coin breaks below the current support at $24, it could open up further downward pressure. Buying is only recommended if the price is above current levels and a bullish price signal is confirmed.