Recent data shows that XRP, XLM and SNT have high chances of rising compared to other altcoins, but traders should be careful
Popular data aggregator Santiment has tweeted that the current top list of cryptocurrencies that are trending in social dominance includes XRP, XLM and SNT.
This may indicate a soon price surge, however, there is a catch here, Santiment analysts warn.
XRP, XLM,SNT’s social dominance spikes
Santiment tweeted that once a coin’s social dominance goes high, chances of its price rise become higher than usual. However, while these coins – XRP, XLM and Status (SNT) – are trending, Santiment warns, there is also a risk of a quick sell-off by those traders who are after a quick profit.
🗣️ #XRPNetwork, #Stellar, & #Status are all currently on the top trending list in #crypto Friday. These assets are all relatively even on the day, which means pump chances are higher than usual. But watch for a quick sell-off if they do while trending. https://t.co/puOnDyvhJp pic.twitter.com/wu3k5syQLw
— Santiment (@santimentfeed) December 2, 2022
Over the past week, Ripple-affiliated coin XRP has risen in price by nearly 10 percent, jumping from $0.37316 to the $0.41003 level on the Bistamp exchange based in Luxembourg. However, by now, XRP/USD pair has dropped by 4.78 percent, trading at $0.39058.
XRP’s fall in early November was caused by the collapse of the FTX exchange and bankruptcy of it and its founder Sam Bankman-Fried. Back on November 7, XPR lost its recently gained $0.4747 level, crashing down to the $0.3341 low.
Affect of FTX crash on the market
The collapse of FTX has created a bearish wave in the cryptocurrency market, pushing back Bitcoin below the $17,000 mark and making manifold altcoins follow it down into the sea of red. Ethereum fell below $1,200.
By now, both Bitcoin and Ethereum have put up a small revival, as BTC is back above $17,000 on the news of the Fed intending to start making smaller rate hikes than earlier this year. BTC is now exchanging hands at $16,989, while Ethereum is trading at $16,989. BTC and ETH have risen by 2.25 percent and 4.25 percent, respectively.