Altcoin Price
XRP Is Surging But Not Everyone Is Convinced a Bull Run Is Certain
Nick Chong | Jul 26, 2020 | 01:00
- Following the footsteps of Ethereum, XRP has surged higher over the past 24 hours. The asset has decisively crossed above $0.20, which has long been a key resistance level for the asset.
- The asset is now trading for $0.215, which is a price up approximately 5% in the past 24 hours.
- While many analysts think the asset has room to rally, there are some signs that a bull run in XRP is not certain.
- Adding to the uncertainty, there are some that expect all smaller altcoins to underperform as Bitcoin and Ethereum take the reins of the crypto market.
Despite XRP’s strong price performance in the past 24 hours, there remain investors that believe the asset is not yet in a bull market. This comes in spite of analyses indicating the asset has pierced crucial macro resistance levels.
XRP Is Breaking Out, But Price Could Stall
One prominent crypto trader shared the chart below after XRP began rallying on Saturday. He wrote, “this is literally the very beginning for XRP,” adding that investors should “let it ride.”
Chart of XRP’s macro price action against Bitcoin by trader Crypto Dog (@TheCryptoDog on Twitter). Chart from TradingView.com
Despite this, not everyone is convinced the asset has legs in the longer run.
As reported by Bitcoinist previously, XRP remains below a level of macro support despite the ongoing rally. The loss of this technical level led one analyst to suggest the asset could drop by 30-40% against Bitcoin. Referencing the chart, this analyst wrote:
“I don’t think this pumps without fundamentals and for now I don’t see anything in the calendar. Personally I’m waiting for orange or a HTF reclaim of the former floor that lead to this bleed out. Bounces are for shorting until proven otherwise,” the analyst said in reference to the macro downtrend.
Chart of XRP’s macro price action against Bitcoin by trader “Bagsy” (@Imbagsy on Twitter). Chart from CoinTrader and TradingView.com
Further bolstering the XRP bear case, the asset’s community is shrinking per social data. According to a recent report released by The TIE and eToro — a blockchain data firm and exchange/trading platform, respectively — XRP’s social media volume actually went down over the second quarter by around 21.81%:
“While existing crypto investors became increasingly positive about the industry, there was no mainstream euphoria surrounding crypto post-halving. 73% of cryptos saw a decreased number of tweets in Q2.”
All Altcoins Are Poised to Suffer
There are some analysts that are bearish on all altcoins, not just XRP.
The head of technical analysis at Blockfyre recently opined that in an environment where Bitcoin and Ethereum are “trending,” it is a poor idea to long altcoins:
“If $BTC and $ETH start trending. I’d be cautious on longing #ALTS. Especially if this is the start of a new BTC trend upwards. The most likely out come would be alt/btc pair ratios getting drained while BTC moved past 10.5k in that scenario. I also wouldn’t look to fade 1st move.”
He added in an earlier message that his analysis of the Bitcoin dominance chart indicates a short-term pullback.
Featured Image from Shutterstock Price tags: XRPUSD, XRPBTC Charts from TradingView.com XRP Is Surging But Not Everyone Is Convinced a Bull Run Is Certain
