The post Expert Outlook Indicates Upcoming Spike in XRP Market Dominance, Identifying Key Buy Zone appeared first on Coinpedia Fintech News
An acclaimed cryptocurrency chartist and analyst, JD, has recently presented a promising investment entry point for XRP stakeholders. He unraveled a potent trading method used by savvy investors.
XRP’s Historical Market Behavior
#XRP Dominance update – while eyes are on the lawsuit causing stress/emotions
SMH, the REAL PLAYAS/SMART MONEY in the game is paying attention to the CHARTS!
Loading up more within orange box if hit w/no emotions!
Retweet/Like for more chart updates! $XRP #XRPCommunity… pic.twitter.com/ckS74fSr6K
— JD
(@jaydee_757) July 7, 2023
JD’s analysis pays attention to XRP’s market dominance, a metric that reflects XRP’s price changes. As XRP’s price ascends, the cryptocurrency’s market capitalization inflates, resulting in greater market dominance. JD used chart movements from 2015 onwards to map XRP’s historical market patterns.
This analytical eye spotted a reduction in XRP’s market dominance post its zenith in January 2015, which marked the start of a two-year downward trend. Nevertheless, the tides turned in 2017 when the market dominance skyrocketed to a commendable 31.33% in May of that year. This period also observed a rapid 39x rally for XRP within a span of 56 days.
The chartist identifies the potential for another drop in XRP’s market dominance to levels seen in early March. Such an event would trigger JD to bolster his holdings, pointing to a lucrative buying opportunity within this zone. This region coincides with the 0.618 and 0.786 Fibonacci points, often used by traders as key support or resistance levels.
JD advises investors not to be stranded in the market turmoil. He discourages blind adherence to the “hold” strategy down to the 0.618 Fibonacci level, warning against the mass mindset that often leads to heavy losses.
How XRP Is Doing Right Now
Currently, XRP displays a ‘cup and handle’ chart pattern, with the price wavering between its daily moving averages. This pattern is typically a bullish sign, indicating a period of consolidation before a potential breakout.
A successful break and closure above the daily moving averages of 50 and 200 would signal strength. This could set the stage for a rally to the $0.565 to $0.584 levels. However, if the sellers successfully resist these advances and push XRP beneath the immediate support level of $0.45, the currency could dip to the robust support level of $0.415. At the time of reporting, XRP’s value stands at $0.468.
