- XRP falls 4.9 percent in 24 hours
- Ripple to reduce XRP sales in Q2 2019
Thanks to a Bitwise report to the US SEC, this quarter’s XRP sales shall drop to less than 10 bps. That will be Ripple’s contribution towards improving transparency and reliability of the market structure. Meanwhile, XRP is under pressure and down 4.9 percent in 24 hours.
Ripple Price Analysis
The crypto scene is still regarded by many as the Wild West: Rugged, unregulated-and in the case of cryptocurrencies, manipulated. A Bitwise report addressed to the US SEC highlights the depth of this foul play.
In their deduction, researchers discovered that exchanges are culpable, with some inflating their trading volumes. Up to 95 percent of all trading volumes, they said, were fraudulent.
As a result, Ripple is seeking to increase the “overall reliability of market structure and reporting at digital asset exchanges worldwide.” Towards that end, Ripple is “actively working with trusted partners in the space to better understand the scope and scale of the problem,” evaluating their XRP volume reporting and will take a “more conservative approach to XRP sales in Q2 2019.”
Therefore, by following through their proposals, they hope to improve transparency. That also means their target XRP sales for this quarter will drop to less than 10 basis points.
Perched at third, XRP is equally under pressure. Like BTC and Ether, the coin is down 4.9 percent in 24 hours and poised for more losses. Even so, that is not to dismiss buyers as they are technically in control, if not resilient. Then again, XRP is trading within a bullish breakout pattern after clearing the 34 cents mark.
In line with these developments, it is likely that bears will temporarily take over. The resulting selloff could see XRP drop to 34 cents, or the 78.6 percent Fibonacci retracement mark of May trade range, in a retest.
However, tides could change if XRP finds support, with the resulting influx spurring demand above 50 cents. Such a move will cement bull traders’ predisposition, and would likely take XRP to 60 cents or higher in days ahead.
From the daily chart, XRP is dropping with increasing trading volumes. Since May 30th bear candlestick is extensive and has high volumes, it shall anchor this trade plan. Ideally, any upswing above 50 cents ought to be with high participation exceeding 94 million of May 30th and even 187 million of May 14th. The same is true if XRP falls below 34 cents and 30 cents.
Chart courtesy of Trading View. Image Courtesy of Shutterstock