- An analyst predicted that the token might rise as high as 100% if it crosses a particular resistance.
- Bitcoin’s dominance dropped and analysis showed that XRP might bounce to $0.70.
CrediBULL Crypto, a pseudonymous analyst on X, is in the the news after he claimed that XRP could outperform Bitcoin [BTC] soon. The analyst reportedly spotted a bullish divergence in favor of XRP to make these observations.
In his post, the analyst noted that he checked the Higher Time Frame (HTF) demand zone. The HTF is a key area that shows a high probability of demand or supply and can help indicate critical support and resistance zones.
The analyst added that the altcoin had formed a lower base TF while admitting that the HTF region was larger. As a result, he mentioned that XRP might rise 15% to 20% against Bitcoin at the narrowest.
At the same time, he explained that a 100% jump versus BTC is not impossible, saying,
“Assuming BTC has found a local bottom here (which will be the case if local lows hold), XRP should perform much better than BTC on the rebound.”
As of this writing, both XRP and BTC had registered n0table downturns. While Bitcoin’s price dropped to $63,727, the value of XRP declined to $0.59.
Source: CoinMarketCap
Bitcoin’s loss may be altcoins’ gain
However, the performances of the last 24 hours indicated that XRP might have better strength to weather the turmoil the market might bring. For instance, XRP recorded a 2.64% decrease while Bitcoin’s price below $64,000 represented a 6.98% fall.
But one thing AMBCrypto noticed was that there was a strong correlation between Bitcoin and the Ripple native token. For XRP to outpace BTC, the cryptocurrencies’ trend have to decouple and Bitcoin’s dominance has to shrink.
When Bitcoin’s dominance increases, the price is either stable or increases. Altcoins lose market share in this instance. Conversely, a decrease in Bitcoin’s dominance clears the path for altcoin prices to increase.
In the last 24 hours, Bitcoin’s dominance fell from 54.21 % to 53.63%. If this ratio slides below the 50% average, then XRP might have a chance of outperforming the coin. If not, the token might remain in the shadow of BTC.
Source: TradingView
XRP plans to defy the disdain
On the on-chain side of things, AMBCrypto checked the sentiment traders had about XRP. According to Santiment, the Weighted Sentiment around XRP dropped into the negative region.
At press time, the metric was -0.091. The negative reading implies that comments about the token on social media platforms were bearish.
Source: Santiment
Realistic or not, here’s XRP’s market cap in BTC terms
However, recent history showed that the sentiment could be good for XRP. For example, the Weighted Sentiment dropped to -1.525 on the 1st of March. At that time XRP’s price was $0.59. Two days later, the value jumped to $0.64.
A similar scenario occurred between the 10th and 11th of March. If we were to go by these incidents, the sentiment might drop lower. But the price of the token could be in tune to rebound as high as $0.70 in the short term.