Monat: April 2022

After a very bullish trend in March, Bitcoin (BTC) has slowed significantly in April. The coin dropped below the $40,000 for the first time in weeks. BTC has managed to pair up some of these losses and much of this is down to increased whale buying. Here are the main takeaways:

• Institutional investors and other big wallets bought BTC massively at $38,000.

• This buying activity has pushed the coin above $42,000 once again

• Whale accumulation often suggests a bullish momentum is around the corner.

Data Source: Tradingview 

How will whale activity affect Bitcoin?

In the near term, we expect the price of Bitcoin to maintain a steady upward trajectory. The accumulation of BTC by large wallets is often a sign that more gains are coming. At the moment, BTC remains firmly above the crucial; $40,000 mark. We expect consolidation to continue before the mega-cap strides towards $45,000. 

It is very difficult however to see any more upside above $45,000. In fact, even during its robust March rally, BTC failed to clear $49,000 and would soon fall sharply after. It is likely that most of the dip buyers we saw at the $38,000 prices are short-term investors. 

We expect a majority of them to lock in profit once the coin crosses $45,000. This will lead to a mini sell-off that will return Bitcoin back to $40,000 in the shorter term.

Should you follow the Whales?

Well, the $38,000 price was the most appropriate for BTC investors. But there is enough upside for the coin to hit $45,000 from its current price. You can therefore consider buying and make at least 10% in returns over the coming days. But if you want to hold for the longer term, BTC still has the potential to 2x your money by the end of this year.

The post Bitcoin’s price dip has attracted large whales – Here is what this means appeared first on Coin Journal.

Ripple (XRP) has entered a bullish setup that could trigger a decisive uptrend. The coin has regained an important trend line and will look to build momentum in the coming days. But how far can it go? More analysis below but first, here are key takeaways.

• XRP has consolidated gains firmly above the 100-day moving average

• The coin has breached $0.72 and regained an important trend line.

• The momentum could push XRP towards $0.82 in the near term.

Data Source: Tradingview

Ripple (XRP) and the upside potential

The broader crypto market has stabilized after a difficult start to April. Although most coins have not reported record-breaking returns, they have held to most of the gains we saw during the March bull run. 

XRP added 10% to its value last week and has now entered a bullish setup that could bring additional gains of around 15%. The moment the token smashed past $0.72, it entered an important upper trend line. So far, the coin has held this line and appears poised to surge towards $0.83. XRP also remains steadily above its 100-day SMA, something that adds more support to this bullish thesis. 

Despite this, there are still several risk factors. For starters, the relative strength index is still slightly in bear territory. This could make upward momentum very hard to sustain. For this reason, it would be best to approach this setup with effective risk management. In fact, if XRP falls below $0.68, this analysis will become null and void.

Should you buy XRP?

As noted above, some risk still remains for XRP. But the upside potential to gain 15% in the next few days is there. In that case, you can buy XRP but make sure you use small amounts of capital. 

However, if you plan to hold the coin for the long haul, then you can buy it without any worries. XRP’s long-term outlook is very positive.

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