Ripple Becomes Second Largest Crypto But Could Drop In Value

Kiana Danial  |

Ripple Becomes Second Largest Crypto But Could Drop in Value: Ripple has officially taken over Ethereum to become the world’s second-largest digital currency. Its price action on the charts is sending out mixed signals though.

While the cryptocurrency market as a whole is losing its market cap value, Ripple’s XRP got the opportunity to take over Ethereum as Ether’s coin market cap dropped to around $12 billion. Ripple’s market cap is sitting at $15 billion during Monday’s Asian trading session.

It’s worth noting that over the weekend, the majority of top cryptocurrencies saw gains as the market attempted to recover from its bearish hangover. Ripple saw almost a 6% recovery while Bitcoin surged 4.83%.

TECHNICAL ANALYSIS

Looking at the price action on the charts though, we have a bit of a mixed signal. XRP/USD appears to be in the process of forming a Double Top chart pattern and it is right now testing the pattern’s neckline, which falls on a key pivot level at 38 cents. A confirmation of a break below this level could increase the chances of further losses in the crypto/fiat pair.

Other indicators such as the Ichimoku Kinko Hyo are also pointing to further declines, as the future Ichimoku cloud. appears to be bearish. If these indications are confirmed, we could see XRP/USD to drop back to the levels from back in August at around 26 cents, which is where Ripple’s price was at before its sudden surge end of September.

Obviously, keep in mind that trading cryptocurrencies involve a ton of risk and you shouldn’t invest the money that you can’t afford to lose. But for Ripple fans, these drops could create a perfect buying opportunity.

Now I’d like to hear from you. What do you think about Ripple’s mixed signals? How do you feel about Ripple taking over Ethereum on market cap? And are you planning to buy or sell the cryptocurrency? Let me know in the comments, subscribe, and tune in again tomorrow for more updates.

Don’t forget to complete your risk management due-diligence before developing your investment strategy.


DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Comments

Watchlist

Symbol Last Price Change % Change
AAPL

     
AMZN

     
HD

     
JPM

     
IBM

     
BA

     
WMT

     
DIS

     
XOM

     

What Is Petrolithium?

MGX Minerals explains the advantages of petrolithium and how they are helping to solve future problems today.

Emerging Growth

DirectView Holdings Inc

DirectView Holdings Inc designs and installs surveillance systems, digital video recording and services. The company through its subsidiaries operates within two divisions security and surveillance and video conferencing services.