FTX Token is Spiralling Toward $0 – Can This New Coin Steal All The Limelight?
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The price of FTX (FTT) has plummeted by 78% in the past 24 hours, as the struggling exchange halts withdrawals and looks set to be acquired by rival Binance. It's also down by 85% in a week, with its losses beginning after a leaked document revealed that most of FTX's assets were locked in illiquid altcoins such as its own FTT.
While the rapidly developing situation remains uncertain, the market appears to be acting on the fear that FTX.com is currently insolvent, a suspicion supported by Binance's move to acquire it. As such, there's every chance that FTT will fall to $0, or at least very close to $0.
However, while FTT holders still likely have further losses in store, there are certain new altcoins that hold out promise for decent returns in the near future. One of the most promising of these is Dash 2 Trade (D2T), an Ethereum-based trading intelligence platform that is currently holding its presale, and could be in store for a big return once it lists on exchanges.
FTX Token is Spiralling Toward $0
There's not much to say about FTT that hasn't already been said, but needless to say, its chart makes for some grim bedtime reading.
Normally, a relative strength index (purple) of 10 would be a signal that a coin is massively oversold, and should be a big rebound sooner or later. However, FTT currently finds itself in less-than normal circumstances, and its descent could possibly be part of an irreversible death spiral.
As of writing, the latest news is that FTX has halted withdrawals, with the prevailing interpretation of this being that it's insolvent. Such fears have understandably sent FTT even lower, and even Binance's offer of buying FTX.com appears not to have allayed concerns.
Even if Binance buys FTX.com, FTT could still go to $0 as a result of Binance withdrawing the exchange utility token and/or ending support for it. And while FTX CEO Sam Bankman-Fried has recently said that FTX.us is a separate entity and is fully backed, it doesn't currently allow FTT trading, so its survival alone will not be enough to save the native token.
As such, things look very grim for FTT, and with the wider cryptocurrency market losing 12.5% in the past 24 hours, the selloff definitely looks set to continue in the short-term.
Can This New Coin Steal All The Limelight?
Pretty much every coin is having to absorb big losses right now. However, there's one class of coins that's avoiding falls at the present moment in time and could be set to witness big gains in the coming months.
These are coins that haven't yet launched and are currently holding their presales. One of these is Dash 2 Trade, a new Ethereum-based trading intelligence platform that will provide investors with real-time analytics and social data in order to help them make more informed trading decisions.
Since beginning three weeks ago, Dash 2 Trade's presale has raised just over $5.7 million. It presently offers investors the chance to buy its D2T native token at a price of 0.0513 USDT, although this price will rise to 0.0533 USDT once it ends stage three and enters stage four, which will be soon.
As explained by its whitepaper, its Dash 2 Trade's platform will offer the following tools:
- Trading signals that highlight buy and sell opportunities
- Social sentiment metrics and on-chain analysis that identify trending tokens
- Strategy building and social trading tools that enable investors to adapt new trading strategies
- Access to cryptocurrency presales, as well as new listing alerts
Dash 2 Trade has three tiers of access to its dashboard, with the first being a free-to-use version that has the smallest range of features and tools.
However, for a subscription fee of 400 D2T per month, the Starter Tier offers numerous social channels, automated trading tools, and strategy-building tools. Meanwhile, the Premium Tier (at 1000 D2T per month) provides the full range of features, including on-chain data, whale wallet alerts, and professional-grade market indicators.
Given that Dash 2 Trade's subscription requires payment in D2T, this gives the latter a clear use case. As such, there remains a good chance that, as a result of growing demand, D2T will experience a rising price as Dash 2 Trade becomes more popular with traders.
As a sign of its potential popularity, it's worth noting that Dash 2 Trade has already accumulated over 45,000 followers on Twitter, having opened its account as recently as September. This suggests very good prospects for future growth.
With other presale coins witnessing big returns this year, D2T has a very good chance of performing well once it lists early next year. It has the fundamentals to succeed and answers to an actual need, so while the market may be in bad shape right now, it's well placed to ride a rising wave come 2023.