I was having the same problem. I contacted CS-Cart Support and BlueHost support and we resolved the problem. You need a dedicated IP address to send the ftp from CS-Cart. Below is the e-mail I received from Blue Host.
You need a dedicated IP address to make outgoing ftp connections. The cost for a dedicated IP is $30 per year ($2.50/mo prorated to the end of your agreement). If you would like to purchase the dedicated IP, please reply with either the password or the last 4 digits of your credit card number.
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Please let me know if you have further questions.
Thanks,
Bryan Thomas
BlueHost.com
Support Team
support@bluehost.com888.401.4678