What XRP’s rising exchange supply tells you about its future prices
The post What XRP’s rising exchange supply tells you about its future prices appeared on BitcoinEthereumNews.com.
XRP was at risk of a breakdown after trading within a consolidation phase, with analysts predicting a possible drop to $0.4319. Supporting evidence from various market indicators strengthens the forecast of an impending fall. On the daily chart, Ripple [XRP] has been underperforming, and the trend appears set to continue. It has already experienced a 1.71% decline, with expectations of further decreases. XRP consolidation could lead to a breakdown XRP has been consolidating within a defined daily range for over a year, a movement that began in August according to AMBCrypto’s chart analysis. Consolidation phases typically represent periods of accumulation, where the price oscillates between the upper and lower bounds of a rectangle, often setting the stage for either a significant breakdown or breakout. As of this writing, XRP has recently rebounded from the upper bound or resistance line and is likely to descend to the bottom of the channel where buying pressure could potentially drive its price higher, continuing its pattern of oscillation. Source: Trading View However, AMBCrypto reports that the selling pressure has intensified, suggesting that the lower bound or support line may not hold which will cause a further decline in the asset’s value. Increased supply places sell pressure AMBCrypto’s analysis using data by Cryptoquant indicates a notable increase in the Exchange Supply Share of XRP over the last 24 hours, suggesting a potential major drop in its price. This increase points to a higher availability of the token on exchanges, creating downward pressure on its price due to the influx of potential sellers. Source: Cryptoquant A significant surge in supply, often influenced by whales transferring large quantities of XRP to exchanges for sale, has been observed. Recently, Lookonchain recorded a transaction where a whale moved 95 million XRP, equivalent to over $49 million, in recent…
Filed under: News - @ September 8, 2024 7:01 am