Santiment on-chain analytics platform He highlighted a factor that could contribute to this Cardano (ADA) and XRP Enjoy more moves to the upside. Both tokens registered relief pumps after the recent decline in the cryptocurrency market, but market traders believe that this development is far from unrealistic. Bullish reversal.
Heavy short selling by the trader could cause the prices of Cardano and XRP to rise
Santiment was claimed at X (formerly Twitter) mail The heavy short selling that Cardano and XRP are currently experiencing could be “rocket fuel” for the continued rise in prices of these crypto tokens. saint It also revealed that Cardano and XRP were among the most notable altcoins that were heavily shorted following their bounce.
Related reading
Interestingly, they called this a “good sign” for patient bulls, as they believe Liquidate these short positions It could be the momentum these crypto tokens need to surge higher. That Cardano and
Cardano and XRP typically fail to enjoy significant relief pumps even when Bitcoin (BTC) and the broader cryptocurrency market enjoy a massive rebound. However, things may be different this time, as Cardano and XRP are at a modest level Price recovery While some Other alternative currencies Slow.
Data Coinglass shows that Santiment's theory could already be in play, as we see how Cardano and XRP bears have suffered significant losses over the past 24 hours. Over $50,000 of short Cardano positions were liquidated during this period, while not a cent in long Cardano positions was liquidated. Likewise, over $30,000 worth of XRP short positions were liquidated while XRP long positions were unaffected.
There could be a big move on the horizon for XRP
Egrag Crypto Cryptocurrency Analyst newly And he expected That XRP could enjoy a price pump of around 1,700% starting in July. He pointed to the XRP quarterly report Hammer formation Between April and June 2016 and July and September 2017 before the cryptocurrency enjoyed a major pump. The cryptocurrency analyst stated that XRP could form this bullish pattern again but needs to close the 3-month candle above the range between $0.55 and $0.58 in 10 days.
Related reading
EGRAGE He also claimed that if the hammer formation is similar to what happened in 2016, XRP could begin its expected 1,700% price rally in July, eventually sending the cryptocurrency token to $8. However, if the hammer formation is similar to what happened in 2017, Igrag stated that XRP holders may have to wait another six months before an “epic” pump of around 5,500%, sending… XRP price reaches $27.
Featured image created with Dall.E, chart from Tradingview.com