Bitcoin and Ethereum slip as XRP whales gather

Bitcoin (BTC), Ethereum (ETH) and XRP prices have struggled to break above the next major resistance levels despite the short-term bullish momentum in play.

Bitcoin price action has been in a larger downtrend while Ethereum and XRP prices have struggled to gain some bullish momentum. However, a short-term bullish price action pushed the BTC price to $17,094 at press time. ETH gained only 1% on the day, while the price of XRP fell by 0.57%.

The top cryptocurrency in terms of price was followed by ETH and XRP. However, the on-chain data presented some unique trends for these three coins.

Bitcoin price may witness further losses

Participants in BTC’s short-term chain continued to sell at a loss with the short-term Spent Exit Profit Ratio (SOPR) below one. This signaled a lack of confidence among traders, who were strongly resisting the $18,000 BTC price. According to analyst CryptoQuant, the price of $18,000 will be the approximate average price of entry for short-term participants.

Additionally, the analyst emphasized that traders should be cautious as yield curve inversions often precede recessions, and the current 10-year Treasury rate (3.75%) is lower than the three-month rate (4.22%).

BTC short-term holder SOPR | Source: CryptoQuant

It will take some time for the long SOPR holder to turn positive as investors who bought BTC after December 2020 are now at a loss. Hence, the short-term SOPR is a better indicator of the current market trend.

One of the negative trends in the BTC price is positive net inflows, which on December 1 presents more currency inflows than outbound. Bitcoin net flows were $16.80 million.

Another recent analysis from CryptoQuant suggested that the Network Value of Transactions (NVT) sell-off was triggered as the BTC price rose. The same situation may cause the price of bitcoin to fall in the next ten days.

Bitcoin NVT Gold Cross |  Source: CryptoQuant
Bitcoin NVT Gold Cross | Source: CryptoQuant

NVT issues a warning signal when the golden cross crosses above the 2.20 level. It is currently at 2.44 and could still go to 2.77 (last value), which could lead to some short-term price declines.

Ethereum continues to flow

At the time of writing, Ethereum price has gained just 0.40% in the daily window as ETH is trading at $1,269.05.

The November losses for ETH were not as severe as for Bitcoin and some other altcoins, as Ethereum was above the psychological support of $1000. The daily on-chain exchange flow showed that net flows were negative for ETH, with an inflow of about $6.7 million on December 1st.

ETH NVT was at a monthly high, which means that investors were valuing ETH at a high price as market cap growth outstripped the use of on-chain transactions. However, futures market data offered some short-term upside for ETH, with Open Interest up 5.44% to $4.80 billion at press time.

According to data from Coinalyze, ETH funding rates were also positive at +0.0099%. Some bullish statistics came from Okex, where short liquidation hit a one-month high, which could help provide some short-term bullish momentum for ETH.

ETH short cancellation Okex |  Source: Glassnode
ETH short cancellation Okex | Source: Glassnode

However, the ETH median transaction volume (7d-MA) reached a one-month low, indicating relatively low network vitality.

ETH Median transaction volume (7d-MA) | Source: Glassnode

The next target for ETH bulls could be $1,350 resistance/support. However, a Bitcoin price pullback could further extend losses for ETH and the rest of the market.

XRP Whales Are On The Move

XRP price was trading at $0.3971 at the time of writing, losing 0.99% on the daily chart but up more than 2% on the weekly chart.

The consumed age indicator for XRP showed that more than 580 billion XRP were transferred on December 1st.

Wet consumption XRP |  Source: Sanbase
Wet consumption XRP | Source: Sanbase

Many older XRP coins have been on the move lately, which could point to a possible redistribution. However, XRP has been a big uptick in whale holdings. Notably, the largest XRP whale cohort with 10 million coins to infinity added a billion coins in the last day

Distribution of XRP Supply by Addresses balance |  Source: Sanbase
Distribution of XRP Supply by Addresses balance | Source: Sanbase

While the whales adding XRP could push prices in a positive direction, the XRP price still has a long way to go with the ongoing regulatory battle.

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