XRP Prints Bullish Golden Cross Pattern But Analyst More Concerned About Weekly Death Cross
- XRP going for a retest is a buy the dip opportunity
- XRP active addresses hit all-time high several times this month
- In cross-border payment, it’s becoming increasingly hard to dislodge XRP just like Ethereum in DeFi – Ripple SVP Asheesh Birla
On Feb. 15, XRP went above $0.340, a level that was last seen in early July 2019. But as Bitcoin takes a drop, XRP went down to $0.262 again, to early February levels.
Currently, the third-largest cryptocurrency by market cap is trading at $0.264, down 4.61% in the past 24 hours. But things might turn out okay for the digital asset, yet again.
Today, XRP printed a bullish crossover, a golden cross. A golden cross technical pattern is a bullish signal where the short-term moving average crosses above a long-term moving average, which indicates that a bull market is on the horizon.
— Sir Gordon Gekko 👑 (@gordongekko369) February 24, 2020
“Still going for that retest. Buy the dip opportunities rather than short entries. As long as we hold,” said trader Crypto Michael.
— Credible Crypto (@CredibleCrypto) February 25, 2020
A Massive Breakout
However, XRP bull Magic Poop Cannon who likened the recent rise in XRP price to 2017 bull rally, now says “XRP Remains in A Downtrend.”
The digital asset is currently struggling with a rising trend line that was generated off of the peak of 2014. Present at $0.265, the analyst says a fall below this level could mean a “more dramatic selloff than expected.”
Currently, XRP has been in a falling wedge which is a bullish pattern that depends on a breakout. This breakout he said doesn’t exist yet and the fact that the crypto asset has had four clear rejections at the top of that formation, it doesn’t bode well for XRP in the short term.
Although the golden cross has been printed, Magic notes there is also a death cross on the weekly chart which is “telling a more important story.”
“Ultimately, I expect that the volatility will continue, until price is able to break out of this formation to the upside or to the downside. Either way, it will be massive.”
Hard to Dislodge XRP from cross-border remittances – Ripple SVP
Keeping aside the price, Asheesh Birla, Ripple’s senior vice president of the product said at the Goldman Sachs Technology and Internet Conference in San Francisco that it would be difficult for crypto assets and companies to outperform XRP in the cross border remittances sector. Similarly, it is hard to beat Ethereum in decentralized finance (DeFi) space, said Birla.
XRP, the digital asset powers the Ripple network in any destination where its products are live making it the “most” liquid crypto asset. And as Ripple has repeatedly emphasized, it has found its niche in cross-border payments and remittance sector and built an ecosystem.
“So in cross-border payment, I think it’s going to be increasingly hard to dislodge XRP. And with DeFi, as the ecosystem expands it will be increasingly hard to dislodge Ethereum because it’s so liquid for those use cases.”
Also, last week a leaked document revealed that the second-largest US banking institution in the US, Bank of America has joined RippleNet.
Active Addresses Hitting New Highs
While the Ripple network keeps on growing, the active addresses have also been seeing several spikes. As a matter of fact, the active addresses hit an all-time high this month.
In early February, the record was broken for the first time when XRP active addresses hit 99.9k and then the same week, after a couple of days, it again surged to 153.3k. On Feb. 15, we jumped to 156.5k only to be outdone by 232k on Feb. 19. Currently, however, we are at 3.8k.