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 Sentiment tweeted that the current top list of cryptocurrencies that are trending in social dominance include XRP, XLM, and SNT.
This may indicate a soon price surge, however, there is a catch here, Santiment analysts warn.
XRP, XLM, SNT social dominance grows
Sentiment tweeted that once a coin’s social dominance increases, its price is more likely to increase than normal. However, while these coins – XRP, XLM and Status (SNT) – are trending, Sentiment warns, there is also a risk of a quick sell-off by traders who are after a quick profit.
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 decline in early November was fueled by the collapse of the FTX exchange and the bankruptcy of it and its founder, Sam Bankman-Fried. Back on November 7, XPR shed the recently gained $0.4747 level, falling to a low of $0.3341.
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.
So far, both Bitcoin and Ethereum have made a minor revival, as BTC climbed back above $17,000 on news that the Fed is set to start a smaller rate hike than earlier this year. BTC is now trading at $16,989 while Ethereum is trading at $16,989. BTC and ETH are up by 2.25 percent and 4.25 percent, respectively.
