XRP Price Heading For Fake Breakout? XRP May Open Short Positions at This Level
Ripple’s investors are currently in confusion if XRP will ever be able to break its multi-year bearish trend as the altcoin makes noticeable price fluctuations with higher highs and lows. However, Ripple’s CEO, Brad Garlinghouse, is optimistic about Ripple’s win against the SEC in the ongoing lawsuit as all motions are filed in favor of Ripple.
Moreover, Ripple’s show-off in making a win has been displayed in its recent development of the XRPL core ledger, which is a decentralized blockchain currently under development with the process of structuring the network.
Will XRP Hold Its Momentum?
XRP price has witnessed an unexpected surge recently after making a slow uptrend for a few days. The primary catalyst behind this massive pump revolves around Brad Garlinghouse’s positive comments on Ripple winning and XRPL core ledger’s development.
According to Whale Alert crypto tracker, XRP has seen a huge token movement by whale crypto wallets in the last 16 hours. Whale alert tracked four massive transactions, out of which one was a whooping movement of 222 million XRP tokens.
XRP-focused analytic firm Bithomp pointed out that those transactions were mainly between Bittrex and Bitstamp wallets initiated by whale holders with a process to liquidate holdings. Hence, traders should stay aware as transactions in millions may eventually lead to a FUD situation, causing a severe downtrend in the price chart.
XRP has been in the headlines in the crypto market, including Twitter, as it has become a hot discussion regarding its price trend and the anticipation of Ripple’s winning chance. According to on-chain analytic firm Santiment, XRP’s price usually gains when its social dominance spikes.
What Lies Ahead For XRP Price?
Though the ongoing lawsuit costs XRP a lot and bears are continuously trying to put selling pressure on the price chart, the altcoin seems to get no impact as it goes on hitting new milestones every day. Moreover, Ripple Labs still generates billions in revenue and expands its operations around the globe, bringing more confidence among XRP investors.
However, the sudden spike due to social hype may lead to a downward correction as XRP tumbles near the immediate resistance level. A well-known crypto analyst, MtICHI, predicts that XRP is poised to hit the $0.2 mark in the next few days. The analyst noted that XRP had formed a ‘wolf-wave’ pattern which may bring two scenarios for the altcoin.
The first trend can be observed if XRP breaks above $0.45 and faces a rejection at $0.8, which may plunge the asset below $0.2. The second scenario may be a sharp downtrend in which XRP can make a reversal soon, and a drop below $0.2377 may take the token to the bottom level of $0.1772.