- Bitcoin shows an uptick in active addresses. Sudden upticks have led to significant sell-offs this year.
- On-chain analysis suggests smart money is uninterested in holding Ethereum.
- XRP price shows the highest uptick in transactions for all of 2022.
The crypto market is in a critical spot. On-chain analysis tools, in addition to Elliot Wave and classic technical analysis, are being used to gauge potential market behavior.
Bitcoin price shows smart money involvement
Bitcoin price currently auctions at $24,051. Bulls should consider moving forward with caution as the BTC price action trades near the edge of an ascending wedge. In recent weeks, the peer-to-peer digital currency has consistently performed in staggered upward motion. Although profits have been made and intended targets have been reached, the uptrend has not been easily accomplished.
Santiment’s Active Transactions Indicator confounds the call for caution as the BTC price has shown a significant influx in daily transactions. On three separate occasions throughout this summer, BTC saw a similar upswing in transactions, which resulted in a large sell-off days after.
Santiment Active Transactions 1-Hour Scale
BTC/USDT 1-Day Chart
In the following video, our analysts deep dive into the price action of Bitcoin, analyzing key levels of interest in the market. -FXStreet Team
Ethereum price continues to ascend
Ethereum price currently consolidates at $1,900. CryptoQuant’s Withdrawing Transactions on all Exchanges has recently breached new lows for 2022. The indicator may suggest that whales are uninterested in holding the smart contract token for more than a few weeks at a time.
In theory, the less withdrawn tokens from exchanges would translate to more active participants in the market looking to sell a digital asset at a certain price point. Although Ethereum price has shown in recent weeks, a sharp liquidation remains in the cards.
CryptoQuant’s Ethereum: Exchange Withdrawing Transactions
ETH/USDT 12-Hour Chart
In the following video, our analysts deep dive into the price action of Ethereum, analyzing key levels of interest in the market. -FXStreet Team
XRP price shows concerning signals
XRP price shows reason to apply caution. The digital remittance token has also shown an uptick in active transactions according to Santiment’s indicator. In fact, the indicator suggests the most amount of transactions have occurred this summer in retrospect of the last 12 months. Thus, a sharp decline could be in the cards for the XRP price.
Santiment Active Addresses Indicator
XRP price currently trades at $0.37 as the technicals are on their way to establishing a classical sellers’ pattern on the daily chart. At the time of writing, XRP price is two hours from printing a bearish evening star. This pattern will accompany a double-top formation on the Relative Strength Index, pouring gasoline onto the speculative bearish flame.
XRP/USDT 1-Day Chart (possible count)
In the following video, our analysts deep dive into the price action of Ripple, analyzing key levels of interest in the market. -FXStreet Team
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.