There are many views that XRP may be preparing to outperform Bitcoin. Analyst King Thies said he discovered an increase in divergence in the XRP/BTC monthly chart.
XRP may be gearing up to outperform Bitcoin
A bullish divergence is an indicator of a potential trend reversal. It occurs when an asset hits a lower low while a technical indicator, such as the RSI or MACD, forms a higher low. The divergence along with a strong volume signal for XRP and suggest a new rally can ripple through the altcoin markets in general.
Source: King Thies/Twitter
There is a clear trend line breakout in progress, turning resistance into support. Hopefully, XRP will consolidate above $ 0.26 before another move up.
Although he believes that XRP can outperform Bitcoin in the coming weeks, Thies is also bullish on BTC. The trader believes that Bitcoin has bottomed out at $ 9,600, and it is about to move to $ 11,000.
Sensing potential local low on #BTC with price currently hovering $9.6k. First image shows bband squeeze + KDJ crossing
IMO we see a rocket to $11k (res shown on 3D chart shown in image #2)
Continuation to downside would suggest $8.8k as next potential level of interest. pic.twitter.com/SVqGygD7jm
— Parabolic Thies ? (@KingThies) February 17, 2020
Wealth inequality is a global problem. With a high concentration of wealth in whales, cryptocurrencies clearly can’t solve this problem.
XRP and XLM are over-centralized
According to CoinMetrics, XRP, and Stellar (XLM) have the highest wealth disparities among the top blockchains. The later takes the cake when it comes to inequality with whales that hold at least 1/1K of the total supply controlling a whopping 95 percent of all tokens.
Source: Coinmetrics
Not surprisingly, XRP and XLM are often criticized for being extremely focused. Accordingly, Ripple Labs fully controls nearly 60% of XRP’s total supply. Individually, the former CEO of the company Chris Larsen owns 5.19 billion XRP.
Similarly, the Stellar Development Fund (SDF) holds more than 50% of all tokens and pocket 98% of all inflation payments on it.
Increasing distribution of Bitcoin
Meanwhile, Bitcoin appears to be the most equitable cryptocurrency in terms of supply distribution. The richest whales only hold 11% of all orange coins, a world different from the altcoins analyzed by CoinMetrics. Ethereum (ETH) and Litecoin (LTC) are 46% and 40%, respectively.
The company has shown that the increasing level of distribution is a positive development for BTC because of its growing adoption.
Read more:
- Brad Garlinghouse: Ripple Will Be Amazon Of Crypto Before 2025, So How Will The XRP Price Grow?
- Brad Garlinghouse Ripple CEO Believes Chinese Miners Control The Bitcoin Network