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XRP’s bearish breakout may lead the way to its next bull run

Namrata Shukla

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XRP's bearish breakout may lead its next bull run
Source: Pixabay

XRP, the third largest cryptocurrency on CoinMarketCap, has been going through a tough time in the market. The coin has been fighting the bear since the beginning of 2019 and according to year-to-date [YTD] returns, the coin has fallen by 7.75%. On the opposite side of the spectrum, Binance coin [BNB] observed maximum growth among the top 10 coins, surging by 310.97% in 2019, while Litecoin [LTC] noted a growth of 153.08% and EOS by 106.92%.

XRP, which spearheads most major coins in terms of development, failed to register any gains and is the only coin in the top 10 to record negative YTD returns. Altcoins like Basic Attention Token [BAT] too have surged by 226% since the beginning of 2019, due to developments within the ecosystem. Stellar Lumens [XLM], which is XRP’s competitor in the market, is in the same boat too, in terms of performance. Nonetheless, XLM managed to register a meager 1.25% growth in 2019.

XRP’s native company, Ripple, has been heading most operations related to the adoption of the coin. However, there are speculations in the market that the price of the coin is deliberately being held back. Peter Brandt, an old school trader, speculated that the XRP market is being manipulated and that the price of XRP is deliberately being kept as low as it is. Brandt’s tweet on March 22 read,

“Dynamics at work in a massive descending triangle that moves to apex.
1. Mkt is manipulated
2. Manipulators support at fixed level
3. But are forced to lower their selling price as time goes on
4. If (when) support gives way, desperation will ensue.”

In one of his technical analysis for XRP, Brandt noted a descending pattern, which indicates a bearish breakout. This pattern has been extending over a few months, with price movement being sideways and accompanied by reduced volumes.

Previous reports had suggested that XRP was following its November 2017 pattern, awaiting a bullish breakout which could take the coin’s price to at least $1. However, considering the current chart of XRP, a descending triangle is on the verge of a bearish breakout. The volume has visibly reduced, as seen in the wedge spanning across 129 days. Source: Trading view Source: TradingView

In the middle of a bearish market, Ripple’s CTO David Schwartz was recently called out for selling his XRP, branded as the ‘biggest warning sign’ for XRP hodlers, by many users. Even though Schwartz tried to placate XRP enthusiasts by claiming that he was following a ‘de-risking strategy,’ hodlers speculate a bear attack on XRP.



Conclusion

XRP’s price has not crossed $0.40 since November 2018 and is in the middle of its longest bear market. With falling prices and the formation of a descending triangle pattern, a bearish breakout is imminent. The bull run doesn’t seem to have begun for XRP, but the bearish breakout might lead the way towards the bull.





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Tether’s [USDT] market capitalization hits all-time high, Facebook in talks with Winklevoss twins, trading firms over new cryptocurrency and more

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Tether’s [USDT] market capitalization hits all-time high, Facebook in talks with Winklevoss twins, trading firms over new cryptocurrency and more

Daily Crypto News – May 25

1) Bitcoin Wallet receives part of 5,000 BTC: A recent Whale Alert highlighted a transaction on May 24, where a large sum of Bitcoin [BTC] exchanged hands between two anonymous wallets. According to the alert the transaction took place at 22:13:23 + 1 minutes and 5,000.00001092 BTC was transferred from an unknown wallet, with address 19SiCYaYKZh9A8HUjuh14eg5wtYzKxiFbB, to another unknown wallet with address 14GcjGjxwadzcpmq9EG3KUgTKATjurbnWt.

Read more at https://bit.ly/2VRQwb0

2) Bitwise Report 2.0: Bitcoin [BTC] futures continues growth: On a month-on-month basis, Bitcoin Futures saw a massive bump in April trading at an average of 10,000 contracts daily, peaking on April 4, with over 22,000 contracts traded. To put that number in perspective, in March 2019, the average contracts traded was less than 4,000. Despite the high standards set in April, the average daily contracts traded in May, with 25 days gone has exceeded 14,000 and still looks to grow, given the price performance of Bitcoin.

Read more at https://bit.ly/2W40sTR

3) Craig Wright on private keys: Craig S Wright has, for years, claimed he is the true creator of Bitcoin [BTC] without providing a shred of evidence to support the same. With the crypto-community levelling, Wright could prove his worth by sending BTC from Satoshi Nakamoto’s touted wallet containing around 980,000 BTCs, the BSV man in a twisted cause and effect situation, stated he will “sign” into his wallet only when he proves he is the creator.

Read more at https://bit.ly/2X6fdlw

4) Tether’s [USDT] market cap hits ATH: Tether and Bitfinex are being closely scrutinized now more than ever due to the NYAG’s lawsuit; however, the scrutiny doesn’t seem to have affected Tether as the market cap of USDT has increased by over $100 million in approximately 70 days.

Read more at https://bit.ly/2McaTjE

5) Tether volume shift: Another controversial topic in the cryptocurrency industry was the issue of fake transaction volumes on many of the popular cryptocurrency exchanges. The magnitude of the topic was so large that even Changpeng Zhao, the Chief Executive Officer [CEO] of Binance had raised red flags. This topic and Tether as a whole received another twist when Larry Cermack, the Director of Research at The Block, pointed out a few parameters when it came to the said volume.

Read more at https://bit.ly/2wmk4mJ

6) Bitfinex’s LEO tokens listed on Delta Exchange: Bitfinex’s Leo tokens faced quite a lot of criticism when they were announced, due to the missing $850 million funds from Bitfinex. The private investment round by Bitfinex also faced a lot of heat from the media. However, in a recent development, Leo tokens are being listed on various exchanges for trading.

Read more at https://bit.ly/2HUEnNB



7) Robinhood en-route a projected valuation of $7 billion: Robinhood, the California-based cryptocurrency exchange made headlines recently when a source close to the organization revealed that it was on the verge of closing their latest round of funding at a valuation of a whopping $7 billion – $8 billion. Sources even claimed that the current round of funding could act as a precursor to an even bigger round of funding, which would pit Robinhood with the bigwigs like Coinbase and Binance.

Read more at https://bit.ly/2W64KKj





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