It’s one of those Saturday’s. Crypto selling off in overnight trading (Friday to Saturday), like we have seen so many of them since December last year. It’s frustrating for crypto investors because it is happening on low liquidity moments, consequently many tokens tend to sell off really hard (much harder than BTC). XRP, however, did hold its secular support level. Our XRP forecast 2023 and other crypto predictions are undergoing another thorough test ‘as we speak’.
Please also read out recent writings about XRP: XRP: A Giant Bullish Reversal, Among The Most Bullish Long Term Crypto Charts and XRP Is ‘Back In Business’ And It Is Fundamentally Stronger Than Ever Before.
Crypto events in 2022 have been a true rollercoaster (probably an understatement).
It might seem a long time ago but it was just 7 months ago when Terra Luna went from a ‘valuation’ of $36B back in March of 2022 to less than $50M in a matter of weeks.
Similarly, more recently, the FTX drama resulted in a similar de-valuation drama. It’s just that FTX is technically bankrupt while Terra Luna Classic is still up and running.
Binance is under scrutiny right now, there is lots of FUD which might or might not be justified, the world will know soon. This is the ideal environment to attack the crypto space and push on the short side.
That’s what happened in overnight trading: BTC and ETH got sold, heavily, in a low liquidity environment.
If we look at XRP specifically, we see that its price came down to secular support around 0.34 USD. As seen on below chart, the current support level coincides with a long term rising trendline.
Interestingly, the bull run of Sept might morph into the center part of a bullish W reversal. The first part of a potential W structure was printed in the period May – August.
Stated differently, if this current level will hold on a 3 to 5 day closing basis, it might qualify as a long term bullish pattern. Hard to believe but true. However, it’s a conditional statement!