XRP lets rip - up 80% - you just can’t keep a good coin down

Is XRP Ripple a security though? This will still need to be decided in the court case that is placing XRP in the spotlight for all the wrong reasons lately. The RippleNet company obviously doesn’t think the lawsuit against them has any validity, and is claiming that they are a currency, and so many other things, negating the security label that is being thrown at them by the SEC now. As a result the price just pumped over 80% over the past two days.
Is it another DOGE pump and dump? Perhaps, although the circumstances are a little different this time. XRP crashed heavily last month after the US SEC decided to take them to court for financial crimes. Down over 70% going into the new year, XRP saw much of its gains evaporate under the legal FUD. Yet today it pumps around 85% overnight, to settle as I write this at a 60% gain so far.

This is bound to inspire the XRP army who have been fighting in their war for profit for over seven years now, which make sit rather odd to see the SEC come out now after all this time with a law suit against them. Perhaps the times are changing and the government is turning bearish on cryptocurrency overall. Perhaps XRP is just the first of more clampdowns to come. We shall have to watch this court case play out.

Other than that, I don’t see Ripple going to zero. After all, look at this weekend’s pump, taking price back up over $0.50 for a while, to settle so far at $0.45.It’s not quite up to the recent December peak at around $0.70, but does show that there is some life left in this old army. They are not defeated yet.

I would wait until this current volatility settles down before buying in, if that’s what you want to do. I am personally too reserved to invest in XRP due to all the FUD and of course my personal ethical reasons regarding the bankers coin, but you may make your own decisions.

For now the RSI on the daily time frame is overbought at 75, so there is room for a further retrace after this recent pump, which smashed through previous resistance quite easily in the past 48 hours. This pump came on the back of Ripple responding to the SEC with their initial opening statement to the court case, by the looks of it. The sentiment is commendable from the XRP army, pumping the price like that, but it’s still early days in the court case, and I would rather sit and observe just now.

As with the recent DOGE pump, we can see how sentiment can totally outstrip fundamentals during the manic bull market cycle of bitcoin - and all cryptocurrencies by association. This year could see the crypto industry go through quite some legendary, volatile and probably shocking moves, if what we have already seen is anything to go by.

The current price of $0.45 looks like it has reached prior resistance and will settle here – theoretically. But TA (technical analysis) alone is not enough to determine current price action because it is so skewed by the ongoing court case plus the XRP army on the march to maintain their dominance in the crypto markets.

The token is back up in 4th place by coin market cap globally, reclaiming the earlier spot from the new upstart Polkadot, who overtook XRP for a little while there. Do not be surprised this year by anything that you see in the cryptosphere, as we enter one of the most powerful bull cycles in bitcoin’s 12 year history. 2021 will make the past bull runs look like a little blip on the chart, as it does every bull cycle. If the past is anything to go by.

Posted Using LeoFinance ^Beta