FTX token price explosion
The FTX token course is having an incredible explosion. In just over 24 hours, the market value of the supposedly failed FTT increases by 100 percent. There is still no end in sight. It is possible that the soaring will continue for quite some time.
FTX token price explosion
In November, the former second largest crypto exchange collapsed. The ailing business structures based on a fractional reserve system are to blame. The direct competitor Binance fuels distrust and thus causes a mass panic that deals the death knell to FTX.
Cryptoquorum.com has reported extensively on the incident over the past few months. One trend continued: there were only negative reports. Again and again, new, catastrophic reports of the misconduct of the FTX leadership came to light.
The FTX token course explosion is all the more surprising. CoinMarketCap ranks the FTX token 209th among all cryptocurrencies with a current market capitalization of $830 million.
In the weekly trend, the token gains 100 percent in value. In the last 24 hours alone, FTT has increased by 93 percent. Thus, the digital system is listed at 2.54 US dollars. After the crypto exchang crash, the market value plummeted to around $1.20.
The crash of the crypto exchange would have buried the token completely sooner or later. FTT offers perks related to FTX. In November, however, the marketplace ceased all business. The token therefore no longer had a purpose.
That’s why FTT increases by an incredible 100 percent
But why is FTT rising by an incredible 100 percent today of all days? In fact, the sudden price gain is based on positive news. In a court hearing, FTX’s law firm, Sullivan & Cromwell , said the company managed to recover $7.3 billion.
In addition, an application was made to the court for the sale of several subsidiaries – including FTX Europe AG based in Switzerland, which recently paid out money to damaged customers.
As FTX manages to clear the multi-billion dollar backlog, a resumption of business operations is also a possibility. Founder Sam Bankman-Fried has been insisting on this since the end of last year.
FTX’s current CEO, John J. Ray III, announced several weeks ago that he was considering this possibility. The law firm that represents crypto exchang in court is now presenting the management’s specific plans at the hearing.
Accordingly, FTX wants to act as a trading platform for cryptocurrencies again from April 2024. The old business is to be restored. This would give the old FTX token a purpose again.
With the hope that FTX can regain its former greatness, token explodes. As of yesterday, the daily trading volume is around $23 million.
Today, the trading volume of the digital currency suddenly increases to 400 million US dollars. The interest in the token seems immense. Before the collapse, FTX was the second largest crypto exchange after Binance.
For Binance, the decline of its biggest competitor heralded a period of incredible market dominance. With a daily trading volume of almost eleven billion US dollars, Binance’s market share is over 50 percent.
Will FTX be successful again?
Whether FTX will ever be successful again remains questionable. Regaining second place on the podium seems very unlikely. Some users do not believe that the crypto exchange will ever play a significant role again.
While the recent price movements of the token may indicate interest from some investors, these are ultimately speculations in hopes of making a profit.
The reputation of the trading platform could be so damaged that there are hardly any users who want to trade on FTX.
