The entire crypto market has just seen a massive correction that some traders call a “flash crash” over the weekend. According to reports, the U.S. Treasury Department plans to investigate the use of digital currency for money laundering by financial institutions. The move resulted in a massive sell-off in the market, affecting Bitcoin, Ethereum, Ripple, and Cardano.
The world’s leading cryptocurrency BITCOIN was badly hit, losing nearly 15% of its value and falling close to the $ 50,000 mark but has since rebounded and traded above $ 57,000 at the time of writing. However, the downtrend wiped out around $ 300 billion from the entire crypto market. Analysts forecast higher volatility on the news, which offsets optimism about Coinbase’s recent listing on the Nasdaq.
Ripple’s XRP has grown roughly 500% in value over the past six months, despite the fact that the SEC’s lawsuit against the company’s co-founders is still ongoing. Over the weekend, XRP lost around 9% of its value and showed signs of mixed trading early Monday.
At the time of writing, XRP / USD is trading around $ 1.49 but technical indicators continue to hope for a bullish move in the future. A drop to the $ 1.37 level could result in more sales in this crypto and lead to a bearish trade. On the other hand, if buyers manage to reduce resistance at the $ 1.60 level, Ripple (XRP) can extend its bullish rally to the $ 1.80 level by the time it is tested.
The fundamentals also support the possibility of an impending uptrend in Ripple (XRP) after CoinShares – Europe’s largest digital assets manager – launched a Ripple Exchange Traded Product (ETP). The CoinShares Physical XRP (XRPL) is the company’s fourth ETP launch this year and is expected to be traded on the SIX Swiss Exchange.