In brief:
- XRP is yet to recover from last week’s crypto market sell-off that saw it lose the number 3 spot on Coinmarketcap.com to Tether (USDT).
- XRP needs to rally above $0.20 and maintain this area as support for it to reclaim the number 3 spot.
- However, the amount of Tether (USDT) issued on the Tron blockchain continues to increase thus making the task more difficult for XRP.
In the last week, crypto investors have had their eyes on the top 3 digital assets according to Coinmarketcap.com. More so since Tether (USDT) edged out XRP from the number 3 spot after last week’s crypto market selloff that saw the remittance coin lose the much needed $0.20 support. At the time of writing this, XRP is trading at $0.194.
XRP Needs to Trade Above $0.20 to Maintain the Number 3 Spot
Further analyzing the top digital assets on Coinmarketcap, we conclude that approximately $216 Million in market capitalization stands between XRP and Tether (USDT).
This, in turn, means that XRP needs to trade at approximately $0.199 to equal USDT’s market cap of $8.782 Billion.
This value is very close to the psychological support of $0.20 for XRP.
MagicPoopCannon – XRP Might Have Bottomed
In mid-May, veteran Bitcoin and Crypto analyst, MagicPoopCannon, explained that XRP might have bottomed and was inside a falling wedge that began in September 2018. Such wedges usually resolve in a bullish manner and Magic had suggested that $0.77 was possible for XRP if it broke to the upside.
More USDT Minted on the Tron Blockchain
However, XRP’s bid to reclaim the number 3 spot on Coinmarketcap might be hindered by the minting of more USDT on the Tron blockchain. In a previous analysis, we had observed that $2.1 Billion USDT was hosted on the Tron blockchain.
Further checking the Tether balance sheet, we find that this number has grown to $2.283 Billion USDT on the Tron network. The total assets now owned by the parent company of Tether now stands at $9.126 Billion.
(Feature image courtesy of Unsplash.)