Black Swan crash of XRPBTC Longs = 400% increase in XRPUSD
Sorry for the clickbait title but I wanted to draw people's attention to an interesting price formation/correlation happening with XRPBTC Longs.
Although previously, Longs have not resulted in a significant rise in the price of XRP, the behaviour of the price of XRP today to these bitfinex longs is very different when compared to historical price movements. Namely, just the other day when there was a 4% correction in XRPBTC Longs there was a also a 17% rise in the price of XRP, simultaneously.
This suggests that to me that, in the short term, there seems to be a inverse correlation between the XRP Price and XRPBTC Longs. So just to speculate a little I do believe a black swan crash in XRPBTC Longs will result in a significant rise in the price of XRP.
Based on a linear calculation I made I do suspect there will be a 400% increase in the price of XRP at some stage in the immediate future. Note: this is based on a LINEAR calculation, if we factor in exponential price movements based on historical averages we could range anywhere up to 38,000% but I don't want to get to excited just yet.
Let me know what you think!
Although previously, Longs have not resulted in a significant rise in the price of XRP, the behaviour of the price of XRP today to these bitfinex longs is very different when compared to historical price movements. Namely, just the other day when there was a 4% correction in XRPBTC Longs there was a also a 17% rise in the price of XRP, simultaneously.
This suggests that to me that, in the short term, there seems to be a inverse correlation between the XRP Price and XRPBTC Longs. So just to speculate a little I do believe a black swan crash in XRPBTC Longs will result in a significant rise in the price of XRP.
Based on a linear calculation I made I do suspect there will be a 400% increase in the price of XRP at some stage in the immediate future. Note: this is based on a LINEAR calculation, if we factor in exponential price movements based on historical averages we could range anywhere up to 38,000% but I don't want to get to excited just yet.
Let me know what you think!
Comment:
I’ve been messing around with the calculator just seeing where a short squeeze in XRPBTC longs would potentially put the price of XRP and I’ve arrived at $11.00.
Comment:
XRPBTC Longs are starting to unravel by 1.3% today and XRPUSD is up 2.3%... Coincidence?