Have tested what happens to PLs when FTP is changed. Believe there is a known SW bug that sometimes resets the PLs to 1, but that is not the intended behavior. In my experience increasing FTP typically works, decreasing it can lead to a reset.
If you would increase FTP from 194 to 211W my estimate is that your sweet spot PL will go down about 3.5 points, copied the link with the analysis in below. Would love to hear your feedback though if you would decide to make the change.
In your case - with a sweet spot PL around 5.6 - I would not change FTP yet though. For the next workout select a ‘breakout’ level (7-8) PL and see if you can finish it. AT will propose adaptations accordingly afterwards.