Few crypto tokens or altcoins have been affected by the crypto bear market than XRP, also known as Ripple. Even though Bitcoin and many others have regained much of their lost all-time high value, XRP is still down over 93% from its $3.84 price record.
Investors have grown increasingly bearish on XRP, and many expect the asset to continue to fall into oblivion. however, one crypto analyst says that “fireworks” are “incoming” for XRP, as the asset’s price hit historic support stemming all the way back to 2014.
Fireworks Incoming If XRP Historic Support Holds
Altcoins are regularly valued in both USD and BTC. XRP is down by 93% from its all-time high in USD value and is now resting on support on the XRP/BTC trading pair that dates all the way back to 2014 on crypto exchange Poloniex, according to one crypto analyst.
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The analyst claims that support at this level will hold, the trader’s sentiment has flipped bullish after long being bearish on the crypto asset, and expects that “fireworks” will occur in the coming days now that XRP has hit that significant support level.
XRP has held support at roughly 2500 satoshi – the lowest unit of measurement in BTC. The analyst expects a strong move up to 4000 sats, which would represent a 60% increase in value relative to Bitcoin.
As bad as the outlook has been for XRP against its USD trading pair, bleeding out all throughout 2018, against the BTC ratio is where the real destruction has occurred in 2019. Bitcoin’s parabolic rally sucked all the capital out of altcoins, causing BTC dominance to grow to levels not seen since before the last bull run.
$XRP I’m ready to stop being bearish. Bias has changed. Notes on chart. Historical level dating back to 2014 on Polo chart. Sellers losing momentum. Targeting 4k. Fireworks incoming 🔥🔥🔥 pic.twitter.com/0vTe43tXeu
— Pentoshi (@Pentoshiswallet) August 29, 2019
Even the founders of altcoin projects admit that most tokens in the market lack utility, however, XRP has real-world use cases and is already in use by many financial institutions. Ripple is among the few crypto assets to remain high up within the top ten cryptocurrencies by market cap since the list existed, while most other altcoins have not only struggled to maintain the positions, they’ve often struggled to remain relevant at all.
XRP’s sell pressure has largely been driven by its own executive team, however, with that set to stop, and with retail investor sell pressure finally beginning to exhaust, the current support XRP is resting on very well could hold, and those fireworks could soon be for Ripple bag holders to celebrate an eventual move to the upside.
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If the support doesn’t hold, though, another massive drop may be in the cards, and XRP could reach lows not seen in over five years.
Featured image from Shutterstock
