The cryptocurrency market is like a beast. It can make one very rich in an hour but also it can lead to crippling losses in another hour. However, the same happens in other markets like the Forex market and the stock market. The difference is that the volatility in the digital asset market is quite high. This could be due to fact the market is relatively young in comparison to other traditional markets. To make money in any of these markets, investors must know the best time to buy and the time to offload and take the profits. For this reason, it is often a winner when one buys when market is in a downtrend but in order to avoid losses in a bear market. It is essential to ‘buy the dip’ and particularly when the dust settles and you can spot signals of recovery.
The cryptocurrency market tumbled yesterday and cryptocurrencies shed off more than 10% of their value in less than one hour. The total market cap wiped off a huge chunk losing $16 billion only to find balance at $201 billion. Bitcoin (BTC), plunged like a stone from levels slightly above $6,500. Fortunately, the king of cryptocurrencies defended the support at $6,000 and has recovered above $6,300. Ethereum (ETH) is still exploring levels below $200. At the time of writing, the market is mixed red and green. Nevertheless, there are strong signs of recovery.
Why You Should Stock Up Ripple (XRP)
Ripple towered the market in September with an amazing recovery that saw it add more than 100% in less than one week. While many would say that the surge has gone down and the crypto is deflating, Ripple has the greatest potential of clocking $1 before the end of the year. Besides, in the wake of the declines that almost crippled digital assets this week, Ripple is already leading recovery by a 12% surge on Friday, October 12, 2018.
Investors have recently changed their perception and sentiments towards XRP in the past few weeks. This is partially driven by the projects the San Francisco-based blockchain company has been releasing to the market. Its RippleNet cross-border money transfer system is currently used by many banks and payment companies around the world. The surge in September was ignited by the launch of Ripple’s xRapid solution that allows secure and cheaper payments using XRP.
In addition to that, the steps Ripple is making towards blockchain and cryptocurrency integration in the traditional financial sector are strategic and are bound to increase adoption of XRP. In turn, the value of XRP is expected to go up significantly with time. Therefore, buying XRP now while the price is low could be the best decision. Besides, the entire crypto market is expected to correct higher as the year comes to end. Ripple (XRP) is currently trading at $0.42 after spiking more than 12% in 12 hours.
What about Bitcoin Cash (BCH)?
Like the majority of cryptocurrencies in the market, Bitcoin Cash has wiped off more than 80% of its all-time high (ATH) value. Despite the slight recovery towards the end of last month the crypto is still stuck in a year-long bearish trend. However, the medium-term and short-term technical indicators and fundamentals show that a breakout is expected towards the end of the year. While the surge will not be as big as the one in December 2017 and January 2018, Bitcoin Cash could recover to $617 by December 31, 2018 according to the average predictions by a panel of analysts on finder.com.
The team of analysts and experts released price predictions of the top ten cryptocurrencies by market capitalization. The latest predictions at the beginning of October indicate that Bitcoin Cash will go up 42% by the end of the year and 18% by November 1, 2018 where it is predicted to trade at $513. Some analysts like WishKnish CEO Alisa Gus were very bullish on the crypto saying that it has the potential to hit $690 by end of 2018 and $900 by the end of 2019.
Meanwhile, Bitcoin Cash has recovered slightly after falling victim to the sellers’ bite on Thursday 10. The tables show a 3.46% bite on the day from the support at $430. It has tested the resistance at $460 before sliding lower to the current $448. Bitcoin has from time to time shown the cryptocurrency market that it is capable of recovery and even this time, it is bound to reclaim $500 level and head towards $600 and beyond in the coming months before we say goodbye to 2018.