Recently, both Bitcoin (BTC) and XRP have seen a slowdown in their upward momentum, leaving some investors anxious about the market's direction, while others anticipate a rebound.
Pav Hundal, the chief analyst at Swyftx, warned that XRP might face significant losses if Bitcoin continues to strengthen its dominance in the market. He suggested that XRP could experience a sharp decline, with many long positions being wiped out in the process.
According to Hundal, if Bitcoin continues to gain market share, a shift from XRP to BTC could trigger a “bloodbath” for XRP investors, especially those who are heavily leveraged.
The analyst also highlighted that investor optimism for XRP has surged following its impressive recent growth, with many still holding long positions despite the price dip. On December 5, XRP’s open interest hit $3.44 billion, a substantial increase compared to the $2 billion seen during its April 2021 rally.
Hundal suggested that while XRP and other altcoins may see some volatility, their trading volumes and prices could rise again once Bitcoin stabilizes and its dominance diminishes.
Ella Zhang, head of YZi Labs (formerly Binance Labs), has observed a noticeable change in crypto investment patterns.
21Shares has decided to shut down its Bitcoin and Ethereum futures ETFs, with liquidation expected to take place by March 28.
Solana has recently dipped to its lowest value since August 2024, prompting analysts at MakroVision to examine its price movement and determine what might come next.
A notable cryptocurrency whale, known for its high-stakes trading maneuvers, appears to have shifted focus from Ethereum (ETH) to Chainlink (LINK).