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Will Recent Binance Events Trigger This Historical Bitcoin Bull Run Signal?

The recent events at cryptocurrency exchange Binance could trigger the next Bitcoin bull run if this pattern continues to form.

Will Bitcoin Exchange Reserve Ratio Turn Around After Binance News?

As explained by an analyst in a CryptoQuant Quicktake post, the BTC exchange reserve ratio for US versus off-shore platforms has followed a specific pattern during past bull markets of the asset.

The “exchange reserve ratio” here refers to an indicator that compares the exchange reserves of any two platforms or group of platforms. The exchange reserve is the total amount of Bitcoin sitting in the wallets of the exchange/group in question.

In the context of the current discussion, the exchange reserve ratio between the US-based exchanges and foreign platforms is of interest. The trend in this metric can tell us about which type of exchanges users prefer to use.

When the ratio’s value declines, the off-shore exchanges gain steam as investors deposit their coins to them faster than to the US platforms (alternatively, they are withdrawing at a slower pace).

On the other hand, an increase implies the dominance of the American exchanges is going up as their exchange reserve is growing relative to that of the global platforms.

Now, here is a chart that shows the trend in the Bitcoin exchange reserve ratio for these two sets of exchanges over the last few years:

Bitcoin Exchange Reserve Ratio

In the graph, the quant has highlighted the two phases that the Bitcoin exchange reserve ratio for these platforms appeared to have followed during the last two bull runs.

In the first phase (marked in green), the indicator rises while the cryptocurrency goes through a buildup period for the bull rally. This suggests that large entities start participating in the American exchanges ahead of the bull run.

Once the bull run starts properly, the indicator’s value starts sliding down as investors withdraw their coins from these platforms again (the red box in the graph).

From the chart, it’s visible that the Bitcoin exchange reserve ratio for US vs. foreign exchanges was in a continued decline since the start of the bear market but has recently shown signs of turning around.

The indicator has only registered a small increase so far, so it’s hard to say if it’s a sign of a trend taking shape or just a temporary deviation. Whatever the case, though, a development has happened in the Bitcoin market that can tip the favor towards the American platforms regardless.

Binance, the largest cryptocurrency exchange based on trading volume, has seen a leadership change following Changpeng Zhao’s resignation. The instability has kickstarted outflows from the exchange, while US-based Coinbase has enjoyed inflows.

Thus, this may be the event that leads to a proper reversal in the BTC exchange reserve ratio. “If the recent regulations on CZ and Binance lead to an increase in the percentage of Bitcoin held on US exchanges, we will be ready for the next bull market,” notes the analyst.

BTC Price

Bitcoin has once again been trying to breach the $38,000 level today, as the chart below shows.

Bitcoin Price Chart

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LooksRare’s LOOKS Ready To Melt Faces: Analyst Predicts 10000% Surge Above $5.2

LooksRare first burst into the scene as one of the first NFT marketplaces to carry a vampire attack on OpenSea and it was rewarded heavily as its LOOKS token enjoyed great success. Just like the rest of the crypto market, the LOOKS has since succumbed to the bearish headwinds, losing over 98% of its bull market highs. However, this might not continue for long as one crypto analyst has predicted a massive burst that could send the price toward its previous highs.

LOOKS Poised For Parabolic Move

In an analysis posted on TradingView, a crypto analyst that goes by without_worries on the platform has predicted a meteoric price rise for the LOOKS token. The analysis identifies major indicators that have turned bullish, pointing to a 10000% increase in price.

First, the analyst notes that the price action and the RSI resistance breakouts point to a potential bull rally. Then there is also the fact that multiple oscillators have turned toward a positive divergence with the price action that has been recorded. As the analyst explains, this positive divergence continues to get stronger with a move up in the timeframe.

The third factor that points toward this rally is the panic in the crypto market. Volume has been on the rise as investors scrambled to get back in the market and take advantage of the rising prices. “Every sell off is met with a large volume increase,” the analyst states.

LooksRare LOOKS price chart from Tradingview.com

A falling wedge pattern that uses the highest to the lowest touch points also supports this theory of a breakout. So while it is likely that the price could keep falling, there is a higher chance that it will begin to climb, the analyst explains.

Furthermore, the analyst identifies the fact that LOOKS is yet to be listed on major exchanges such as Binance. As such, this provides a unique opportunity to get into the coin before it gets on investors’ radars.

LooksRare Recovery To New Highs

The analysis which was first posted on November 22 put one of the price targets just above the $5.2 level, which would be an initial 5,000% move from the $0.097 price mark at the time.

However, given the analyst’s 10,000% increase prediction, there is the expectation that the altcoin will cross its previous all-time high price of $7. Completing a 10,000% move from here would see the price rise to $9 which would be a new all-time high price.

A breakout seems to have already begun for the LOOKS price by Friday. The price is already over 23% up and continues to show bullish tendencies. However, there is no timeframe presented by the analyst for when this 10000% move would be completed.

LooksRare LOOKS price chart from Tradingview.com

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Ripple CEO Offers Perspective On Legal Fallout With The SEC

Brad Garlinghouse, the CEO of Ripple, expressed his views on the aftermath of their legal battle with the US Securities and Exchange Commission (SEC).

Ripple CEO Insights On The SEC’s Stand In The Legal Battle

The Ripple CEO spoke about the case between the crypto company and the SEC in an interview at the 2023 DC Tech Week. Garlinghouse highlighted the SEC’s several setbacks since the case started.

According to the CEO, “the SEC has lost on everything that matters” when he was asked if the case is “done and dusted.” He further highlighted that the case’s conclusion rests on the SEC’s decision to pursue an appeal or not.

Nonetheless, Garlinghouse asserted that whether or not the SEC files an appeal on the case, which seems over for the regulator. This is due to the SEC’s “losing about three times to the crypto firm.”  

In addition, the CEO also brought up the SEC’s losses in the Grayscale case. In a court ruling, a trial judge declared the agency was behaving “arbitrarily and capriciously” towards Grayscales’s Spot Bitcoin ETF application. 

Notably, this legal wording suggests intentional and unreasonable activities done carelessly, ignoring relevant circumstances, facts, and other parties’ rights. With this incident, Garlinghouse emphasized that the SEC should reevaluate its course toward cryptocurrency regulation. The CEO stated:

I mean this is damning language from a federal judge to the SEC. At some point when you keep trying the same thing and having the same outcome, you need to change your approach. I hope the SEC’s change will be magical.

Nonetheless, Garlinghouse noted that the SEC losses will be amplified if they decide to take the appeal process higher. 

Furthermore, Garlinghouse “reaffirmed” that Ripple stands prepared to pursue the matter further with the US Supreme Court should the situation demand it. Given that the Supreme Court has typically ruled against regulators, he firmly believes that the SEC would fail in the Supreme Court.

Regulatory Framework For the Cryptocurrency Industry

The Ripple CEO also spoke about the ambiguous regulatory framework for the cryptocurrency industry in the United States. According to Garlinghouse, other nations are increasing their market influence by implementing open rules and luring capital into the industry. On the other hand, the US continues to view cryptocurrencies with “skepticism.”

Garlinghouse conveyed that the US lacks a conducive regulatory framework. This causes the United States to “forfeit” its prospective position as a leader in the cryptocurrency space. So far, the Ripple CEO believes the US will create a crypto-friendly legal environment in the next ten years.

XRP

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XRP Price Could Hit $10,000 If It Overtakes SWIFT, Pundit Suggests

Edward Farina, Head of Social Adoption at XRP Healthcare, recently proposed a scenario where the price of XRP could potentially surge to $10,000. His projection is based on the possibility of the token as a bridge currency and RippleNet replacing SWIFT (Society for Worldwide Interbank Financial Telecommunication) in the global cross-border payment systems.

Could XRP Price Reach $10,000?

Farina’s commentary dives into the principles of market dynamics. He argues against common misconceptions about the cryptocurrency’s potential growth. “Few people seem to understand the principle of supply and demand. I always see people being shocked when they see someone saying that XRP can reach $10k. (Not saying it necessarily will.),” Farina remarked.

He emphasizes that the global financial sector’s movement of hundreds of trillions of dollars annually means even a small market share could lead to a significant surge in its valuation. Farina also elaborates on the current capabilities of the SWIFT system, handling billions of transactions per hour, and the impact of RippleNet potentially replacing it.

“The problem with the way most people view XRP’s potential to grow exponentially, is that they think it can’t reach that high of a market cap. They’re failing to realize that Financial Institutions move hundreds of trillions worldwide. If XRP captures a tiny fraction of that, it will catapult XRP to unprecedented levels,” he explains.

This highlights the vast, untapped market that XRP could penetrate. However, Farina does not provide exact figures, nor does he explain how much capital would have to flow into the cryptocurrency to reach the price of $10,000.

Besides that, Farina underscores XRP’s supposed technological superiority, particularly in terms of transaction speed and finality. “XRP settles value in real time (an average of 3 seconds) and with finality. BTC cannot do that, neither ETH nor SWIFT. Period,” he asserts, making a case for the tokens’ efficiency and reliability over existing systems.

Can Ripple Replace SWIFT?

The discussion about whether XRP can reach a four- or five-digit price if Ripple replaces SWIFT or only a part of it is almost as old as the token itself. It was only recently that influencer Crypto Eri unearthed a five-year-old statement from Ripple CTO David Schwartz.

Schwartz outlined the positive correlation between an asset’s price and its liquidity. “Higher prices tend to correlate with higher liquidity, which means cheaper payments,” he noted, explaining that as the tokens’ value increases, it becomes a more viable medium for large-scale financial transfers. This ties back to Farina’s vision of the cryptocurrency disrupting the current financial systems.

Grayscale has also recently confirmed XRP’s potential to compete with SWIFT. In its latest “Currencies Crypto Sector” report, the company writes, “Beyond Bitcoin, XRP is the second largest asset. Designed as an alternative to SWIFT, XRP aims to offer fast cross-border payments at lower transaction costs than competitors.”

At press time, XRP traded at $0.6208.

XRP price

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Big Money Returns To Dogecoin: Rally To $0.2 Already Programmed?

Dogecoin is trading in the green today, which is a reflection of what on-chain data suggests maybe whales looking to propel the crypto to a rally. Recent on-chain data shows that institutional money might be returning to the meme token, as evident by the number of Dogecoin wallets holding large amounts of DOGE tokens. 

Institutional Interest In Dogecoin

Data from the crypto analytics platform IntoTheBlock has reiterated the current bullish sentiment among Dogecoin whales. According to its large transaction metric, the number of DOGE transactions worth $100,000 or more has been on a run since the middle of last month and resumed a spike in the past week. 

IntoTheBlock puts the number of transactions worth $100,000 at 1,300 in the past 24 hours and a 7-day high of 1,770. This notable increase indicates a growing interest in DOGE from institutional players and large-scale investors, which brings more stability and less volatility.

This large transaction volume has been going on for a while, as an earlier report noted large holders added more than $2 billion into DOGE throughout October and the first week of November. 

Crypto Analyst Ali Martinez also shared a similar sentiment for the translation of the metric’s data on social media. According to him, the number of huge DOGE transactions has consistently set new highs this month, which might suggest an increased interest in DOGE from institutional players. 

Is A Spike Imminent? DOGE To $0.2?

Large transactions are something to keep an eye on, as they might indicate a significant price spike if they are buy-ins. Similarly, on-chain analytics platform Santiment recently shared an insight into what might be another catalyst for the price of DOGE.

Santiment reported that the number of Dogecoin wallets holding over 1 million DOGE has spiked, as 121 new wallets were created in the past month. At the same time, the crypto recently had the largest spike in dormant DOGE activity in June, as massive amounts of older DOGE moved out of stagnant wallets. While this may be a sign of a selloff, Santiment pointed out that this move often signaled a positive momentum.

Despite all the whale buy-ins and large transactions since October, DOGE has struggled to post high gains compared to other altcoins. The crypto is down by 7.8% in the past week, although a 2.17% increase in the past 24 hours shows momentum might be building. A price surge to $0.2 is still in the books for DOGE, and all it needs is a major catalyst. The first hurdle to break would be a strong footing above $0.08. 

DOGE is trading at $0.0776 at the time of writing. IntoTheBlock puts the number of addresses still waiting for a profit at 557,560. On the other hand, a drop below $0.6 could cast doubt on the weak optimistic outlook.

According to crypto analyst Alan Santana, this is poised to change soon, as Dogecoin could break out in the next six months.

Dogecoin price chart from Tradingview.com