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Ethereum tops $1k, Ripple bounces back after a pullback

Summary:

  • Ethereum (ETHUSD on xStation5) passes a $1k mark for the first time ever
  • Ripple (XRPUSD) resumes its uptrend following a short-lived pullback
  • The Hong Kong based cryptocurrency exchange suspends registration of new traders

Although the major attention has been paid to Ripple of late as it’s made an incredible pick-up, now it could be Ethereum’s time. The digital currency topped a $1k mark for the first time ever and as a result its market capitalization quite easily surpassed $100 billion placing itself at the third place behind Ripple and Bitcoin. As usual there were no specific reasons standing behind such an increase albeit one may suspect that the virtual currency could benefit from the similar reasons as Ripple. Namely, in mid-December a group of financial companies such as UBS, Credit Suisse and Barclays announced its plans to test the Ethereum blockchain in the hopes of making it easier to meet new European Union standards under MiFID II.

link do file download linkEthereum has seen a notable pick-up climbing beyond $1,000. Source: xStation5

From a technical standpoint one may notice that the price has already approached a crucial resistance placed in the vicinity of a $1k mark. Once buyers fail to break an upper limit of an ascending channel a deeper pullback might be on the cards. Let us also indicate that both Ripple and Ethereum could have gained mainly on the back of rising hopes related to their usage in the banking sector. While Ripple has already seen a pullback Ethereum seems to be a bit lagged. If a correction occurs one may expect a downward move even toward $800 which coincides with a lower boundary of the same channel.

link do file download linkRipple saw a deeper correction but sellers faced an obstacle nearby the two pivotal supports. Source: xStation5

As far as Ripple is concerned after a stunning period a larger pullback was inevitable and it exactly took place yesterday. The digital currency slid from a peak at $3.3 to below $2.5 (ca. 25%) nonetheless a decrease was halted by the two crucial supports we pointed out in the prior analysis. As a result, the price has bounced back since then but momentum has not been impressive thus far. In a nutshell, until the price manages to be hovering above $2.45 it appears that bulls ought to keep control on the market.

When it comes to the cryptocurrencies’ titbits it’s worth mentioning the Hong Kong based digital currency exchange Binance which decided to suspend registration of new traders due to the overwhelming surge in popularity of virtual currencies. The suspension is to be temporary until an infrastructure upgrade is successfully implemented. Notice that Binance is a global player in that field offering support in multiple languages and instant exchanging between 96 different cryptocurrencies.

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