That Twitter is now one of the most important FOMO media in the world, we already knew. However, when concerning cryptocurrencies – it seems to be more than just that. Whole lotta XRP fans seem to be getting behind a proposal led by a prominent crypto trader (and a famous twitter user) that Ripple should burn half the XRP held in its reserves.
There is a logic there and it’s concerning the fact that by reducing the supply, the coin’s price will rise more easily, making a mint for everyone involved.
The petition is started by trader Crypto Bitlord (with more than 100,000 followers on Twitter) a few days ago and already has more than 300 signatures. It specifically says that Ripple no longer should release its supply of XRP onto the crypto market. This, according to him, should lead to a pump, “like the good ol days.”
We are making a change ☺️
Over 220 signatures to
stop Ripple dumping $XRP
Sign and share the petition today 💯 https://t.co/sXqPcUDfBd
— CRYPTO BITLORD (@Crypto_Bitlord) August 6, 2019
Much of the blame is placed on Ripple’s holdings of XRP’s 50 percent of its total supply which seems to be thoroughly selling into the market to stimulate the growth of the ecosystem. Those moves rapidly increase the supply of XRP, putting downward pressure on the price.
Over the past weeks, Ripple has been showing some signs of inconclusiveness because price action was floating in the middle of consolidation after an intense bearish scenario that hit the entire crypto market during the July trading.
However, the XRP bulls have started to show some commitment to trade a few days ago. This movement has led to a current market change of 2.1% but, at the time of writing, Ripple’s XRP price is hovering at around $0.308 with a drop of 1.60%. It is worthy of knowing that the initial support is created by $0.3130 what is the middle line of the Bollinger Band on 1-hour chart.
A sustainable move below this barrier usually increases the selling pressure and push the price towards psychological $0.31 strengthened by the lower lines of Bollinger Bands on 1-hour and 4-hour charts.
A further breakdown could actually cause the market to fall at the short-term supports at $0.295 and $0.29 supports. In the same time, a retracement is likely at, as already mentioned, $0.31 resistance before the rally continues. If the overall market does it’s thing, meaning it stays above the $0.31, the trend may, some analysts think, go up further to $0.315, $0.32 and more.
For now, as it seems, the lower lows and lower highs pattern is much in play for now,
The thing is, the Ripple’s XRP bears are back, and we can expect more selling pressure to play out. Bear in mind that we recently had the situation of rejection of $12.000 Bitcoin’s price and it usually creates a surge in the entire crypto market. Once the price becomes relatively stable, the XRP/USD pair may regain bullish momentum. As of now, the $0.30 support remains a selling target.
Let’s just remind you of Whale Alert who is one of the web’s major cryptocurrency transaction trackers, who recently shared news of the transfer of 100,000,000 XRP between unknown wallets.
🚨 🚨 🚨 100,000,000 #XRP (31,273,895 USD) transferred from unknown wallet to unknown wallet
— Whale Alert (@whale_alert) August 7, 2019
This is not just an ordinary irregularity. Just a day before these large transfers, MoneyGram confirmed the use of Ripple and XRP in its Quarter 2 financial report. It would seem this acknowledgment aroused some XRP whales a bit. The price of Ripple’s native token hasn’t recorded much growth in 2019. However, such developments and growing transfer volumes may just stoke the value of the token upwards.