XRP, the 7th largest cryptocurrency with more than $19.74 billion market capitalization, appears to be poised for a healthy surge.
Unfortunately for traders, investors or prospective buyers of the crypto asset, this upward movement will be temporary and the bears are expected to take control shortly after the altcoin registers an uptick in its price.
- XRP has already lost almost 14% of its value over the last 30 days
- The altcoin could jump all the way to the $0.44 level
- Whales have already moved over 150 million XRP tokens
At the time of this writing, according to tracking from Coingecko, the digital coin is changing hands at $0.3932, down by only 1.4% during the last seven days.
On its month-to-date (MTD) performance, XRP registered a decline of 13.6%. However, the pattern currently being followed by its price action is indicating a minor upward movement.
Technical Indicators Slightly Favor XRP
Over the past few days, the cryptocurrency has already tested its resistance trendline on two different occasions while it revisited its support trendline multiple times.
In doing so, XRP’s price action has made it caught in an inverted flag pattern which is a bearish model but offers a chance for a minor bullish breakout.
Currently, the $0.39 zone is a crucial support level for the altcoin as failure to hold it would mean a continuation of the ongoing downward trend for the crypto.
However, in the event that XRP manages to hold that particular line, there’s a good chance that the inverted flag pattern will provide a window of opportunity for the asset to surge all the way up to $0.443 to tally an impressive 12.5% jump.
The decline in trading volume of the cryptocurrency will eventually cool it down and pull it back to a bearish state all the way to $0.36.
Whales On The Move
Just a few days ago, Bithomp, an XRP-focused whale tracker shared some information about an unusual transfer of large sum of the XRP token.
According to the data, around 143 million units of the altcoin worth more than $56.5 million was moved by a crypto whale from Binance to Bittrex, a major U.S. exchange company.
Large investors have been active recently, getting involved in movement of millions worth of XRP from an anonymous wallet to another for purposes of selling or facilitating withdrawal through a cold wallet.
As of posting time, it is believed by the tracker that over 150 million of the altcoin has already been moved by whales.
XRP responded with this development with a minor price increase although its gains remain temporary as it cannot sustain its upward trajectory.
XRP total market cap at $19.5 billion on the weekend chart | Featured image from CryptoCoin Spy, Chart: TradingView.com