The post John E. Deaton Offers Strategic Advice for XRP Investors Amid Market Fluctuations appeared first on Coinpedia Fintech News
Renowned crypto lawyer John E. Deaton recently shared his insights on strategic market timing for XRP investors, particularly after the recent XRP price fluctuations influenced by false news. His advice offers a fresh perspective on navigating the often volatile crypto market.
Navigating Market FOMO
Deaton’s guidance comes at a crucial time when XRP’s price experienced a sudden surge and drop triggered by the unfounded rumors of a BlackRock ETF. He emphasized the importance of cautious investment strategies, warning against buying assets based on “new news” that causes fear of missing out (FOMO).
Instead, he advises purchasing assets like XRP during low market periods and selling them when the market is high, capitalizing on the typical buy-low, sell-high principle. This approach, he suggests, can lead to profits, especially in fluctuating markets like cryptocurrencies.
Recently, Whale Alert, a blockchain tracking platform, reported a significant transaction where an unknown wallet transferred 25 million XRP to Bitstamp, a major exchange.
Such large-scale movements often indicate a bearish sentiment, hinting at possible market dumps. Despite this, XRP’s price showed resilience, marginally surging. At the time of writing, XRP stands at $0.62, marking a 2.54% rise in the past day.
XRP’s Price Trajectory and Resistance Levels
XRP’s price has been a subject of interest, fluctuating notably between $0.50 and $0.70 throughout the year. This volatility was especially pronounced after the false report about BlackRock’s involvement with XRP.
Analyzing XRP’s 1-day chart using Fibonacci retracement levels reveals the token is encountering short-term solid resistance. Currently, XRP hovers just below critical resistance levels, with the 20-day Exponential Moving Average (EMA) at $0.63 posing a significant hurdle.
However, it has found solid support at the 50-day EMA at $0.57. A breakthrough above the $0.63 resistance could set the stage for XRP to target higher levels, potentially reaching up to $0.79. At the time of writing, XRP was worth $0.62.