HOME CATEGORIES WRITE AND EARN 🔍
CATEGORIES WRITE AND EARN MORE

CRYPTO NEWS

Your favorite crypto news blog

Why This Trader Expects XRP’s Price to Triple by 2021

Altcoins 2020/08/25 18:00 by Cole Petersen

XRP has been facing some weakness throughout the past several days and weeks, with buyers being unable to propel it above the key $0.30 region.

Despite this short-term weakness, analysts believe that its mid-term outlook is incredibly bright.

One trader is now noting that he is expecting the cryptocurrency’s price to see a major upswing that allows it to climb by a multiple of 2x or 3x by the end of the year.

He notes that there are a few crucial macro technical developments that support this notion, including its recent reclaiming of its 200-day moving average, as well as a major support-resistance flip.

On-chain data does confirm the notion that upside may be imminent, as XRP’s active address output has remained stable despite its lackluster price action over the past couple of weeks.

XRP Flashes Signs of On-Chain Strength Despite Ongoing Downtrend

XRP is currently facing some intense selling pressure that has come about as a result of Bitcoin’s overnight decline.

At the time of writing, the cryptocurrency is trading down over 3% at its current price of $0.279. This marks a notable plunge from its multi-day highs of over $0.29 that were set just a couple of days ago when bulls attempted to test its resistance at $0.30.

XRP has grown highly correlated to Bitcoin and other major altcoins, which means that it may continue seeing faltering momentum as long as they fail to extend their mid-term uptrends.

Currently, the cryptocurrency is trading at the lowest price levels it has seen since late last week. During this prior decline, it was able to establish the lower-$0.27 region as a strong support level.

Despite its current weakness, on-chain data suggests XRP may be underpinned by fundamental strength.

Analytics platform Santiment explained in a recent tweet that the crypto’s daily active address count remains high.

“In spite of XRP’s -9.2% retrace this past week, the active address output we’re seeing for the #3 market cap crypto asset has remained high. Ripple holders can take solace in it being one of the few alts with a DAA bullish divergences we’ve identified.”

XRP

Image Courtesy of Santiment.

Here’s Why One Analyst Expects the Token to See Parabolic Momentum

One popular crypto analyst explained in a recent tweet that he is anticipating XRP to see parabolic gains in the coming months.

To justify this notion, he points to BTC’s break above its 200-day moving average on both its BTC and USD trading pairs. He also references its ability to reclaim a major support-turned-resistance level.

“Reclaimed 200D MA on both $BTC/USDT pairs. Reclaiming major S/R. You have to be blind to see that bears lost momentum and the pendulum is about to swing the other way. This is optimal entry to me. Not a 10x, but 2-3x eoy,” he stated.

Image Courtesy of Pentoshi. Chart via TradingView.

Whether or not this possibility comes to fruition will likely depend almost entirely on how Bitcoin trends in the months ahead.

Featured image from Unsplash.
Charts from TradingView.

0 Like(s)



You should also read...

Altcoins 20/04/20 02:00 by Cole Petersen
XRP Significantly Outperforming Bitcoin on Macro Scale Despite Recent Weakness
2019 and the first few months of 2020 have been rough for XRP, with the embattled cryptocurrency losing over 40% of its value last year while currently trading down just a hair from where it started t...
Read More
Altcoins 20/08/20 23:00 by Cole Petersen
XRP Reels to Key Support; Loses Position as 3rd Largest Crypto to Tether
XRP has been trading in close tandem with Bitcoin and Ethereum in recent weeks, which has exposed it to significant selling pressure throughout the past few days. Analysts are now widely noting that t...
Read More
Altcoins 25/08/20 12:00 by Nick Chong
XRP Prints Strong On-Chain Signal Despite Price Stalling Under $0.30
Following the leads of Bitcoin and Ethereum, XRP has stalled in the past 24 hours after a short push higher. The altcoin has flatlined around $0.285 over the past day, consolidating under the pivotal ...
Read More
Altcoins 03/09/20 01:00 by Cole Petersen
XRP May Be Primed for a “Massive Breakout” After Reclaiming Crucial Levels
XRP has been closely tracking Bitcoin and the other major altcoins throughout the past few days. Although this helped provide it with some slight momentum earlier this week, it has since caused it to ...
Read More
Altcoins 07/12/20 22:00 by Cole Petersen
XRP Gains Ground Against Bitcoin as Active Address Count Remains High
XRP has seen some wild price action over the past few days and weeks, with investors sending the previously embattled token rocketing by over 300% following its break above the long-held trading range...
Read More