Xrp/usd - Crypto Academy / S6T4- Team Trading Contest Post for Reminane
Hello guys, its so good to be here again participating in this weeks trading contest. In this weeks contest I'll be on the.... Reminane team and try to add as much value to the team as possible with my in-depth trading skills, which of course was learnt from the wonderful professors we've got.
My first trading pair for the week will be the Xrp/usdt, I'll be giving a few insights and information about the coin and a heads up as to whether it'll be a good investment now and in the future to come.
The name and introduction of the project token, which exchanges it can be traded on, project / technical information of the coin/ team background, etc.
Why you are optimistic about this token today, and how long do you u wish it can rise.
How to analyze the token? (This can technical analysis and trading strategies learned from professor's courses) - This section is very important.
Your plan to hold it for a long time or when to sell.
Do you recommend everyone to buy this token? Give reasons for your answer.
Any other thing you might want to share about this coin/token.
So what is this Xrp coin and whats is it all about?
Well to start with Xrp is a native cryptocurrency of the Ripple labs. Its basically an improvement on the familiar payment system we have today and it plans to unsurp that system in the coming years. Take it as a digital currency that allows for the transfer of money, huge sums and smaller amounts alike all with a very little fee and swift processing speed. According to some analyst, its is claimed to finalize transactions at an average speed of just under five seconds. Wow! This feat attracts retailers and big organizations also and by so doing rivaling the transfers system offered by the big banks.
Let me be quick to clear something out here and now. Xrp and Ripple are two different entities, although not entirely different from each other, they are not the same but related. Ripple is not a cryptocurrency in itself but has a cryptocurrency that is used under it and investors who like the company may choose to invest in them by buying their native currency Xrp. Xrp is a payment-oriented cryptocurrency.
Ryan Fugger, a software developer, in 2004 came up with the first version of Ripple, aka Ripplepay which allowed for international transfers with fast processing and lower cost. It was around as the time of the invention of Bitcoin although it wasn't a cryptocurrency then. Soon, another programmer,Jed McCaleb started, in 2011 worked to develop the Xrp cryptocurrency and blockchain and collaborated with Fugger so as to join the two together. They managed to get major financial institutions to use the transfer system.
There are currently a host of exchanges that trades Xrp on them and among them we can see the following;
Binance
Upbit
Whitebit
Digifinex etc
Current price as at time of writing: $0.9
My optimism for the Xrp coin
I'm quite optimistic abouth this coin for the most obvious reason which is the low transactions costs and processing speeds it offers now. Imagine an average speed of under five seconds. This will go a long way to attract lots of investors and retail financiers to this coin and by so doing boost the price if the token.
Mind you this token currently ranks 6th amongst all the tokens available in the world. Its been premined and almost all the available tokens have been mined already. It has a total supply of about 100billion and over 99billion has been mined. This goes to show that there's already some sort of scarcity of the tokens which will invariably lead to an increase in price.
My plans for the token
Given the already stated intriguing facts of the coin, its definitely one for the future and investors, long term investors, should be happy to hold this token as it's not one to disappoint. Short term holders can also look to take advantage of the minor fluctuations of the token as well as trade it on a cheaper and faster rate too. I will have some of the tokes kept for the future as i totally believe in this system and I would recommend this token for everyone.
Analysis and live trade of the Xrp coin
So asides the fact that I'll like to hold this token for a long time, I'll also want to take advantage of the little fluctuations of the coin in the active market. For this purpose, I'll make use of the trading view platform for my analysis while also making use of the futures trading feature in Binance platform.
Analysis
On the hourly time frame, a clear uptrend was spotted especially when the indicators were applied on the chart to further clarify the situation. A little squeeze of the boolinger band indicator was observed which showed low market volatility and later the expansion of the bands showed that there was a lot of active traders at some point which indicated a higher market volatility.
See how the middle line, which is also some sort of moving average and operates on the same principle as the simple moving average, acts as a dynamic support for the market and keeps bouncing off the market whenever it gets close to it. On this note, I'll expect the market to make a little pullback to the median line and then continue its upward movement. In essence, I'll be trading pullbacks in this exercise.
I also confirmed this with the RSI indicator as some sort of confluence trading. The indicator showed that the market was in an overbought position and a reversal is expected. Although this may just be a pullback, its still something to watch out for and can be traded upon too.
Here's the image of the analysis of the chart below.
From the Image above, you can see that the trade offered me a 1:1 risk to reward ratio and I had set my stop at top of the upper band while my take profit was set at the middle line as I expected thr market to take a bounce here and continue its upwards trajectory.
Meanwhile the actual trade was made on the Binance platform. I made use of the futures feature here. I applied a 10x leverage for this one and made use of the isolated margin. Take profits and stop loss wete set according to the analysis previously made on trading view platform. The trade was executed at th3 current market price which made it a market order.
A few moments into the trade, you can clearly see in the image below that i was making some profits, albeit small it went on to prove my analysis correct.
I closed the trade later on and locked in a profit of about 0.0148.. Xrp coins. Not bad.
My transaction history
Conclusion
Well this coin certainly has some potential for greatness and most investors should be happy about that with its low transaction fees and fast processing speed. It'll be a joy to watch in the future.
However, people tend to worry about the current case laid against the coin with the SEC. Xrp seems to be winning the case at the moment but its not having a real positive effect on the toke yet and who knows, things might just get outbof control.
Looking past this situation at hand, the coin is destined for greatness. Thanks.
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