Ripple (XRP) may be trading sideways today; however, a crypto analyst believes the virtual asset could surge in the near term. In a tweet on August 29, 2019, Pentoshi said he is extremely bullish about XRP because the asset has revisited its historical support level.
$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
XRP Has Declined Significantly in the Past Year
As at press time, XRP, the third-largest cryptocurrency by market cap is valued at $0.257. Its price today has declined from the $0.27 zone it was trading at earlier this week. What’s even more disturbing is XRP’s 95% decline from its all-time high of $3.84 on January 4, 2018.
Despite the recent downtrend, Pentoshi opined that he is ready to put aside his bearish sentiment about XRP. According to the crypto analyst, XRP’s current support in BTC value (2600 sats) can be compared to that of 2014 as the XRP/BTC trading pair usually holds at that support level.
XRP’s Historic Support Could Trigger a Bull Run
That being the case, Pentoshi believes that the crypto asset revisiting its historical support is a sign that a bull run is underway. As ‘sellers are losing momentum and as a result, there is a high chance for XRP to hit 4000 sats’.
Other traders who commented on the analyst’s tweet showed mixed reactions. While a specific group agreed that there seems to be an accumulation instead of more sell-offs, another group opined that it isn’t the case. Instead, it could be yet another unremarkable performance waiting to spring up.
On the other hand, Pentoshi is not the only analyst who believes XRP could spike soon. WelsonTrader also remarked on August 23, 2019, that XRP is the best performing crypto asset in the past decade. Moreover, XRP will outperform Bitcoin by 2020’s end.
XRP’s Utility for Cross Border Payments Could Impact on its Price
Asides basing XRP’s potential surge of predictions by analysts, the asset’s utility in solving cross-border payment problems could significantly impact its price. Ripple, for instance, recently revealed that while XRP’s overall trading volume was low by almost 65%, the XRP/MXN volume surged by over 25% on Bitso exchange.
Credit: Source link