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Ripple (XRP) tanked over 20% recently, and some are calling this a bubble. If you recall, bitcoin and altcoins sold off into 2018, primarily attributed to profit taking. I think this was one of the main reasons behind XRP’s selloff. Now, we’re not focused on short-term pops or selloffs in XRP. Our comminuty is looking at XRP as a long-term play, and this could be one of the leading digital currencies soon.
 

Ripple isn’t in a Bubble yet

XRP fell over 30% from its all-time high, but its meteoric rise warrants a short-term pullback.
 
Here’s the daily chart of XRP/USD:
(Source: TradingView)
Ripple
 
The altcoin had a monster move from 20 cents to over $3 in around one month, over a 1,200% return. So a 30% isn’t out of the ordinary, but people are still panick selling. It’s all part of the game.
 
Now, why don’t I think XRP is in a bubble? Well, ripple could be widely-used in the digital assets industry. Banks, payment providers, corporations and exchanges could leverage Ripple’s technology to increase revenues.
 
Moreover, businesses are currently sending over $155 trillion of cross-border payments, annually. With RippleNet’s multiple usecases, it could streamline the current payment system and take a large piece of that pie.
 
For example, banks in the RippleNet are able to process cross-border payments in real-time, with tracking. Banks could establish new revenue streams, lower costs and have one integration point. That means a user with an account in one bank would be able to send money to another user with an account in another bank.
 
Large institutions, such as Banco Santander, UBS, RBC and American Express, are part of RippleNet. And the number of institutions using the digital payment system could continue to rise. That in mind, it doesn’t seem like ripple is going away, anytime soon.

Watch Ripple with Bitcoin

 
Bitcoin has been pulling back and hovering around $15K.  A test of the $10,000 is not out of the question. If that does happen, I see some great opportunity for altcoin buying. Typically, bitcoin leads the sell off, followed by ethereum and litecoin. In turn, this causes a “ripple effect” and pushes other altcoins lower. However, as we’ve already seen multiple times, the BTFD trade works.
 
Final wordsI don’t think XRP is in a bubble yet. As more corporations and banks adopt RippleNet, the digital payment system becomes more solidified in the cryptocurrency space. The more adopters, the greater XRP’s growth potential. I still like XRP as a long-term hold, but keep in mind you’ll need to be able to hold on during some of the price swings.
 
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Terry Scott runs Crypto Trader Pro. He has been trading stocks for nearly two decades and cryptocurrencies for two years. He primarily trades altcoins using proprietary trade tech and is constantly in search of the next big move.

 

Author: Terry Scott

Bitcoin prices got smoked today, and some traders think the bubble is going to burst. I don’t think this is the case. If bitcoin continues lower, I think it finds some support around $10K in the short term. 

Potential reasons for bitcoin and altcoin selloff

It’s been a remarkable year for bitcoin, running from $700 to $20K, so it’s expected for traders and investors to take profits into year-end.

Looking at the chart above, bitcoin found support at its 50 day SMA and rebounded over $1K.

There are a number of reasons why bitcoin, ethereum and litecoin dropped over 25% in the same day. Again, I think it’s mainly due to profit-taking. It’s the holiday season, and people possibly sold to convert their profits to cash, spending that money on presents.

Another reason could be hacks and regulations. A popular South Korean crypto exchange, Youbit, announced its closure after it was hacked, losing over 15% of all assets. Moreover, the SEC suspended trading in The Crypto Company (CRCW) and halted an ICO scam.

That said, these catalysts may have caused some panic selling. We knew bitcoin and altcoins were going to be volatile, but I don’t think this is the end yet.

Cryptocurrencies don’t seem to be done yet

There’s still a lot of investors and traders pouring money into bitcoin and altcoins. Most recently, someone bought 275 BTC calls, expiring on Dec. 28, 2018, with a strike price of $50K!

bitcoin options trade

That’s a $1M bet that BTC would hit $50K by Dec. 28, 2018. If it doesn’t get above $50K by then, the investor would lose his entire investment. I don’t think an individual made this trade, it’s more likely an institution placing this large bet.

If it’s an institution buying these options and news gets out, I think cryptocurrencies could make a move higher.

Final thoughts: I’m still holding onto my core portfolio, which includes: BTC, ETH, LTC, XLM and XRP. I think this move is overdone and buyers start to step in. We’ve locked in some great gains in altcoins, namely XRP, MANA, SALT, ETH, XLM and QTUM. I’m still in OMG and XEM, and I’m planning to take some off the table to reduce risk. However, I added some to STRAT because of the fundamentals and technicals. Again, I don’t think the bitcoin and altcoin mania is over yet.

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   Terry Scott runs Crypto Trader Pro. He has been trading stocks for nearly two decades and cryptocurrencies for two years. He primarily trades altcoins using proprietary trade tech and is constantly in search of the next big move.

*The market data is provided by TradingView.

Author: Terry Scott

Bitcoin is raging, but you probably don’t want to get long at these levels because there’s too much risk to the downside. Even if there’s a chance it could go to $100K, I don’t think it’s worth it. Nearly everyone is talking about Bitcoin and large alternative coins (altcoins), like Ethereum, Litecoin, Monero and Zcash, to name a few. However, I haven’t heard as much buzz around some altcoins I’m in and looking to get in.

Here’s an email I sent out to our community of crypto traders:

altcoins

Altcoins on my radar

Decentraland (MANA)
If you haven’t heard yet, MANAUSD more than doubled in just one day, and if you got in this week, you would’ve got paid. Here’s the move in MANA:

MANA

We had an entry of around 7 cents, and the altcoin spiked all the way to 20 cents, not too shabby. It’s right at the 50-period moving average, but I think this could have another leg higher, if we get some volume.

Decentraland is the first virtual platform that’s owned by its users. You’re able to purchase opportunities and create a piece of the universe. You could also purchase land with MANA. With all the talk of virtual reality, MANA could continue its momentum and run higher. All users need is a VR headset and some MANA to get started.

The next altcoin play

We’re looking for a breakout in SALT soon. It’s been running higher, but still trading within a range.

Here’s what we’re watching:SALT

SALT Lending (SALT) is trading near its previous high around $8, and we’re waiting for a break above this level, coupled with supportive volume.

SALT lets its users leverage blockchain assets to secure cash loans, making it easy to receive money. The best part, you don’t have to sell out of your cryptocurrency investments. Since SALT keeps the collateral assets in an ultra-secure, fully-audited architecture for the life of the loan, users could borrow with confidence. That said, this could be a revolutionary altcoin, and if more users adopt, it could have a meteoric rise, much like that of Ethereum and Litecoin. For now, I’m going to wait for the setup to materialize before pulling the trigger.

Final thoughts

You don’t have to get into bitcoin to bank a profit, there are a lot of altcoins out there that have immense upside potential. We’re taking out some of the work for you and finding altcoins that could rise significantly, and you could potentially double your money in some of these.

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   Terry Scott runs Crypto Trader Pro. He has been trading stocks for nearly two decades and cryptocurrencies for two years. He primarily trades altcoins using proprietary trade tech and is constantly in search of the next big move.

Author: Terry Scott

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