XRP Tanks Following Hyped Airdrop That Catalyzed Parabolic Rally

XRP has given up a serious percentage of its recent gains, with the cryptocurrency’s parabolic rally fading and showing few signs…

XRP has given up a serious percentage of its recent gains, with the cryptocurrency’s parabolic rally fading and showing few signs of strength as sellers rise with full force.

The cryptocurrency’s parabolic rally came about shortly after it plunged to lows of $0.23 before rallying to the top of its multi-year trading range around $0.30. The break above this level came about swiftly and allowed it to see some immense momentum.

Adding fuel to this sharp price rise was mounting hype surrounding the airdrop distributed to XRP investors yesterday, which was widely thought to have the potential to provide holders with some valuable tokens – similar to the airdrop seen by Uniswap.

This created a buying frenzy that boosted XRP’s technical strength and ultimately led it to highs of $0.90 on Coinbase, at which point it lost its momentum and began reeling lower.

It has been unable to gain any strong momentum in the time since and is still flashing some signs of weakness as bulls struggle to maintain its recent momentum.

One analyst is pointing to this latest rally and noting that it is structurally similar to those seen in years past that have always resulted in full retraces.

XRP Plummets Following SPARK Airdrop

At the time of writing, XRP is trading down nearly 6% at its current price of $0.50, which appears to be a support level for the token.

It does appear that the airdrop was a “sell the news” event, as it started reeling lower right around the time of which the SPARK snapshot was taken of XRP balances on platforms that are supporting it.

Because the crypto is now showing signs of technical weakness, it could be a matter of time before it drifts back towards its multi-year trading range.

Trader Claims Latest Pump is Structurally Similar to Previous Ones

While sharing his thoughts on where XRP might trend in the mid-term, one trader noted that the cryptocurrency’s latest rally is shaping up to be just like all the others.

This means that it may see a swift decline in the days and weeks ahead as traders take profits on this movement.

“Whole lot of noise about XRP the past few days for a chart that’s slowly filling it’s inefficiency like it’s done every time in the past.”

Image Courtesy of Chase_NL. Source: XRPUSD on TradingView.

Regardless of where Bitcoin and Ethereum trend in the mid-term, there’s a strong possibility that XRP will see serious losses as long-term investors use this rally as an exit opportunity.

Featured image from Unsplash.
Charts from TradingView.

This Technical Indicator Suggests Bitcoin is About to See Massive Volatility

Bitcoin is so far seeing a quiet weekend, with bulls taking control of its price action as they hold it above…

Bitcoin is so far seeing a quiet weekend, with bulls taking control of its price action as they hold it above $18,000. This level was broken below earlier this week, but buyers were able to find enough support to thwart any intense selloff from here.

Although the crypto is holding strong above this level, it is important to note that the entire market is still on shaky ground and may remain in a precarious position until BTC can break firmly above $19,000.

This has long been a pivotal level for the cryptocurrency, with breaks below it typically opening the gates for serious selloffs.

If bulls can reclaim this level anytime soon, it could mean that another explosive rally to the crypto’s all-time highs is imminent.

There is one technical indicator that seems to suggest some explosive volatility is imminent in the near-term.

Whether or not this volatility favors bulls or bears should depend largely on the cryptocurrency’s reaction to $19,000, as a test of this level should provide some serious insights into where BTC and the rest of the crypto market will trend next.

Any rejection at, or just below, this level could lead the entire market to see some serious downside.

Bitcoin Struggles to Gain Momentum But Reclaims $18,000

At the time of writing, Bitcoin is trading up just under 3% at its current price of $18,500. This marks a notable climb from its recent lows of $17,600 set just a couple of days ago.

The selling pressure in the upper-$18,000 region has been significant, and whether or not it can break above $19,000 should have some serious implications for the cryptocurrency’s outlook in the weeks ahead.

Indicator Shows BTC is Gearing Up to See Some Massive Volatility

Bitcoin may be gearing up to see some massive volatility in the near-term, with one indicator showing that the crypto is poised to make a big movement in the days ahead.

One analyst spoke about this in a recent tweet, explaining that BTC’s cloud formation suggests that a macro trend-defining movement is fast approaching.

“The cloud doing its thing. Currently squeezing and thus tightening the range, whatever direction it will take – it will be big,” he said while pointing to the below chart.

Image Courtesy of Teddy. Source: BTCUSD on TradingView.

The coming week should shine a light on the cryptocurrency’s outlook, and its reaction to any test of $19,000 might be the event that sparks the next round of immense Bitcoin volatility.

Featured image from Unsplash.
Charts from TradingView.

Efficient Market Hypothesis: MicroStrategy’s $650M Bitcoin Buy Has Barely Been Priced In

Bitcoin price is making an attempt to get back over $18,000 after it flirted with the mid-$17,000 range in the overnight…

Bitcoin price is making an attempt to get back over $18,000 after it flirted with the mid-$17,000 range in the overnight hours. The leading cryptocurrency by market cap has only bled further over the last several days since MicroStrategy CEO Michael Saylor revealed his company’s plans to offer convertible senior notes to raise $650 million in proceeds to buy Bitcoin with.

Whales of such proportion and size rarely reveal their position-taking plans beforehand, making the news notable. However, the market has yet to price in such an enormous piece of information. It has one early crypto supporter to question is efficient market theory. Here’s what that means, and why the market has yet to respond to information regarding the sudden, substantial demand.

Bitcoin Price Declines As Corporate Treasury Whale Publicly Announces Increase In Position Size

The Nasdaq-listed software firm MicroStrategy set off the initial wave of corporate buying of the first-ever cryptocurrency. Jack Dorsey’s Square Inc followed suit shortly thereafter, sparking a wave of FOMO in Q4.

The domino effect took Bitcoin from retesting $10,000 to a new all-time high in one fell swoop. The $10,000 up-move took only a handful of months, but it put the crypto asset on the radar of major players for the first time.

Since the initial shift in sentiment toward using the asset as a store of value and hedge against inflation caused the breakout bullish impulse in the first place, then why hasn’t the fact that Saylor has raised enough funds to purchase another $650 million worth of BTC barely had an impact?

Bitcoin has only dropped on the news a whale is increasing its position so sizably | Source: BTCUSD on TradingView.com

Why Isn’t The Crypto Market Pricing In New Demand Information As Supply Struggles Persist?

$650 million worth of Bitcoin at current prices represents over 36,000 BTC – a whale-sized position by crypto standards. The capital is enough to beat out any cryptocurrency’s entire market cap from rank 39 and below, to put things into perspective.

The fact that the crypto market has yet to price in such information, has Nic Carter questioning “efficient market theory.” According to Wikipedia, efficient market theory, in a nutshell, is the idea that asset prices currently reflect all available information.

But Saylor has made his intent to buy such a large sum of Bitcoin a completely public and pre-planned affair, yet the price per BTC has declined since.

Related Reading | “Most Profitable Buy Signal” Triggers As Bitcoin Consolidates Below ATH

However, there could be a few reasons for this. Despite the fact that Bitcoin has real inherent value, its price is primarily driven by speculation, and a fair market value is extremely difficult to establish.

Essentially, because the crypto investor base believes that Bitcoin will almost certainly reach prices of $100,000 or more next year and beyond, that information got priced in well ahead of Saylor’s display, resulting in the cryptocurrency’s rally becoming overheated too quickly.

FOMO caused a powerful bullish impulse because people have very little idea how to price this asset currently. Due to this, selloffs become just as severe quickly. Trends in speculative assets can overextend in both directions.

Another theory is that investors are viewing Saylor’s “all-in” type approach to Bitcoin a bit reckless considering the uncertainty that still remains surrounding the asset.

Regulation could soon become a factor, quantum computers are in development that could make the cryptography protecting Bitcoin less secure, and more. In essence, MicroStrategy itself is also speculating on Bitcoin, and speculation in the business world isn’t always the safest and most sound (micro) strategy.

Featured image from Deposit Photos, Charts from TradingView.com

Chainlink Posts “First Death Cross” Seen Since 2018 Against Bitcoin Pair

Chainlink has seen some mixed price action as of late, with bulls unable to gain a decisive edge over bears as…

Chainlink has seen some mixed price action as of late, with bulls unable to gain a decisive edge over bears as the entire market turns lower.

LINK isn’t the only cryptocurrency that has been struggling to gain any bull-favoring momentum, as most other cryptocurrencies have also seen some intense selling pressure that has slowed their growth and erased some of their recent gains.

For instance, Bitcoin is currently stuck below $18,000 as sellers try to revert its trend into their favor. They have yet to do this successfully, and it could still decline quite a way before it loses its macro bullishness.

However, altcoins have been struck particularly hard by the recent market-wide decline, with Chainlink now moving to the lower boundary of a pitchfork channel that has been formed and respected throughout the past year.

One trader is also noting that the cryptocurrency appears to be forming what could be the first “death cross” seen since 2018, which spells some serious trouble for its short-term outlook.

Just as LINK rose significantly in the years following 2018, this doesn’t mean that its macro-outlook will be changed by this technical development.

Chainlink Tracks Bitcoin – Moves Lower as Buyers Lose $12.00 Support

At the time of writing, Chainlink is trading down just under 2% at its current price of $11.68. This is around the price at which it has been trading throughout the past few days.

Bitcoin has been causing the entire market to face some intense weakness over the past few days and weeks, with its recent break below $19,000, causing it to see intense inflows of selling pressure that ultimately led it as low as $17,600.

Similarly, LINK has also shed some of its value, down from multi-week highs of nearly $16.00, set a few days ago.

LINK Posts First Death Cross in Years as Selling Pressure Mounts

One trader explained in a recent tweet that Chainlink is now posting its first “death cross” seen in years.

This grim technical sign also comes as the cryptocurrency nears the lower-boundary of a long-held channel that it has been caught within throughout the past year.

“First death cross on LINK / BTC since 2018,” he noted while pointing to the below chart.

Image Courtesy of Josh Olszewicz. Source: LINKUSD on TradingView.

Because Chainlink is closely tracking Bitcoin and the rest of the crypto market, where it trends in the mid-term should depend largely on the benchmark cryptocurrency’s price action.

Featured image from Unsplash.
Charts from TradingView.

Indian Banks Rush to Join Bitcoin Party

Indian banks are planning to begin offering crypto banking services to their physical bank branches. Customers will purchase bitcoin and many other cryptocurrencies at these Indian cryptocurrencies branches, open crypto wallet investment accounts, create loans towards their cryptocurrencies, and more.

Two years after top banks started working with cryptocurrency exchanges and their clients headed by the central bank, the two sides are now back in business, according to four people with direct knowledge of the matter. Top banks, including the State Bank of India, HDFC Bank, Yes Bank, and ICICI Bank, have come forward.

According to a banker, his bank was dealing with some “selected” cryptocurrency exchange in India, but was cautious this time around – The Economics Times

The bitcoin frenzy appears to have hit a new height. Recently, fueled by a rising consumer base, market uncertainty, and the rapidly developing Bitcoin-related network

Equipment and an expanding ecosystem to sustain protocol remind us of a gold rush in many ways— The comparison made Bitcoin’s other comparisons simpler. It’s precious gold.

Bitcoin increasing importance

It’s hard to say if there’s any justification for this hype, but it’s almost as hard to ignore Bitcoin’s increasing importance to businesses and the wider economy. Bitcoin, together with other coins, might have been using implications not just for the electronics market, where most of the new activity is localized, but others are still concentrated.

Industries from retail to financial services are used. Bitcoin, just like other properties, such as gold, can give rise to the demand for peripheral goods. Institutions are currently underway giving financial instruments, including insurance and derivatives, to help hedge the risks of customers.

They could still be building new investment offerings based on Cryptocurrencies, For eg, index funds and exchange-traded funds. Building knowledge and experience would be a core component that’s production. Investment in emerging talent and talent training could be required.

Crypto Banking at Physical Bank Branches in India

Cryptocurrency users in India will soon be able to visit physical bank branches for crypto banking services and learn about cryptocurrency investments. This is attributed to the collaboration revealed on Monday between the Crypto Banking Network Cashaa and the Unified Multistate Credit Co. Operative Society (United), as part of Casha’s growth strategy for India.

The United States is a member of the National Federation of Metropolitan Cooperative Banks and Credit Societies Ltd. Dinesh Kukreja, Managing Director, Unified Multistate Credit Co. The holding firm will be the CEO of the joint venture between the two firms.

Crypto Lounges at Indian Bank Branches

“The existing branches of the United States will be transformed and modernized as Crypto Lounges,” Cashaa said, adding that “Members can enter any of these branches and learn about cryptocurrencies along with other banking services.”

The spokesperson also shared with news.Bitcoin.com: “We will educate them on investment opportunities, bitcoin, and other crypto utilities, how to use and store crypto, etc.” He explained that non-bank clients “will have access to general material, but the use of lounges is for bank customers.”

Check other Latest Posts!

“Bitcoin is gold 2.0, will dethrone gold within a decade” Daily Crypto Report 11/12/2020

Price Change Today (Daily Crypto Report):

BTC is down 2.3% at $17,950

ETH is down 3.5% at $545

XRP is down 3.58% at $0.55

Top gainers in the last 24 hours:

ZIL is up 7%

MKR is up 5%

Strax is up 1%

Top Headlines for 11/12/2020:

Bitcoin is gold 2.0, will dethrone gold within a decade

Bitcoin (BTC) is gold 2.0 and will take on gold’s role as the top store-of-value asset within the next decade, according to Cameron Winklevoss, the co-founder of U.S.-based cryptocurrency exchange Gemini.

The Bank That Called Bitcoin a Ponzi, Has Now Launched A Crypto Exchange For Institutional Investors

Earlier today, the banking institution officially announced that it will leverage blockchain technology to “provide an ecosystem for fundraising through asset tokenization and secondary trading of digital assets, including cryptocurrencies.”

Ethereum Wallet MetaMask Goes After Institutional Defi Market

The first crypto company to partner with MetaMask on this is Curv. An Early Adopter program will add additional partners looking to integrate MetaMask with their platforms.

JPMorgan Completes Live Blockchain Repo Trade Ahead of New Product Launch

Investment bank JPMorgan says it has completed a live intraday repo transaction using a blockchain solution that will soon see a commercial launch.

Grayscale Gained Over 100,000 ETH in Past 24 Hours, Acquired 1,276 Bitcoin Yesterday

Grayscale Founder and CEO Barry Silbert have retweeted several posts about the recent crypto acquisitions made by his company. According to data tables shared, over the past 24 hours, Grayscale Investments acquired 1,276.474621 Bitcoin and over 100,000 Ethers.

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