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FTX token rises 113% amid false $16 billion repayment rumors

FTX token rises 113% amid false $16 billion repayment rumors

GrafaGrafa2024/10/01 00:00
By:Mahathir Bayena

FTX Token (CRYPTO:FTT) experienced a dramatic price surge, reaching an intra-day high of 113% on Sunday. 

The sudden rise was triggered by false rumors about a $16 billion creditor repayment plan. 

By the end of the day, FTT corrected slightly, closing 57% above its opening price. 

According to market speculation, many investors believed that FTX would begin repaying its creditors starting October 1, which fueled optimism and caused a significant market reaction. 

However, Sunil, a representative of the largest FTX creditors group, debunked these claims, confirming on Twitter that the actual hearing for the repayment plan is scheduled for October 7. 

Despite the clarification, the spike in FTT’s price led to an increase in active deposits. 

According to Santiment data, deposit volumes reached a ten-month high as traders moved their holdings to exchanges, possibly positioning themselves for an exit amid heightened volatility. 

The surge reflects a mixture of excitement and caution within the market, with many investors seeking to capitalize on the token's brief price increase. 

Analysts predict that FTT may find support at $2.00, with the potential to rise above $2.20 if market sentiment improves. 

However, there is a risk of further decline if the token falls below the $1.90 support level, potentially dropping to $1.58. 

The market remains on edge as traders prepare for the upcoming October 7 hearing, which may significantly influence FTT’s price. 

Increased caution among investors suggests that many are weighing their options amid the uncertainty surrounding the token’s future trajectory. 

At the time of reporting, the FTX token price was $2.08.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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