The dollar price of Ripples XRP has remained relatively flat, with a gradual decline for 2019 as a whole. But the story about the price action could be hidden in another pair – XRP / BTC.
XRP is approaching a crucial level against BTC
XRP could approach another crossroad level, though not in dollars. The asset’s satoshi position tells a different story and shows signs of a change in direction.
Top TradingView Bitcoin analyst Jacob Canfield sees the pivotal point for XRP this week at 2,350 Satoshi. A break below this level when the market closes could mean further losses for the crypto asset.
The Satoshi price is particularly critical as XRP supporters expect the coin to replace BTC at some point due to the faster network. However, when it comes to trading, altcoins no longer run in cycles against Bitcoin.
Ripple’s crypto is no longer used in BTC-based speculations
Altcoins were already used for speculation in 2017 in order to ultimately win larger bitcoin positions. But now the switch from the lead coin to an altcoin is considered too risky. Despite the almost two-year bear market for altcoins, most expect the downward trend to continue with new significant downward movements.
According to Canfield, XRP could have disconnected from BTC earlier if the token had established its position as base pair assets.
However, XRP has a thin market in which it is actually a base pair asset – and that didn’t really help with the long decline in coins.
Last week the asset slipped from over 3,000 satoshi to a low of 2,615 satoshi. The new period will show whether the price is recovering or falling to a lower level. Last year, XRP slipped from over 10,000 Satoshi and entered a phase in which the decline threatens to accelerate again.
XRP has a relatively small market for Bitcoin (Satoshi), while Tether (USDT) accounts for up to 37% of the total. However, the move against BTC could show that fewer people believe that the Ripple project will displace the Bitcoin network as a leading solution for cross-border payments.
Low XRP prices are a problem because the token is expected to have the potential for a rally. But even the low prices are no guarantee that XRP will not sink further and will no longer cause financial losses.
XRP has lost nearly 50% in dollars and 60% in BTC since the beginning of 2019.