The BlackRock XRP ETF Filing: A False Alarm
On Monday, rumors circulated about a supposed BlackRock XRP ETF filing that appeared on the Delaware Corp. Commission website, causing the price of XRP to surge before quickly reversing. The filing was later debunked, but the impact had already been felt.
The Curious Correlation Between XRP and XLM
During this event, an intriguing correlation between XRP and XLM emerged. When the news of the alleged BlackRock filing broke, both XRP and XLM experienced a surge in price, leading to speculation about the connection between the two cryptocurrencies.
A crypto analyst known as Blockchain Backer observed this correlation and highlighted the simultaneous movement of XRP and XLM prices, showcasing the synchronized nature of their price actions.
In a related analysis, Blockchain Backer emphasized the unusual nature of XLM mirroring XRP’s movements, prompting questions about the underlying factors driving this parallel behavior.
Exploring the Price Correlation Between XRP and XLM
Some observers argued that the correlation between XRP and XLM stemmed from the fact that both digital assets shared the same holders, suggesting that the interconnectedness of their communities influenced their price movements.
Additionally, analysts like Crypto Bilbuwoo have long tracked the performance of both XRP and XLM, predicting a potential surge in their prices based on historical trends and technical analysis. In a recent post, Crypto Bilbuwoo projected a significant percentage increase for both assets, drawing parallels to past market movements.
Despite these insights, the simultaneous price pump of XRP and XLM on Monday prompted further speculation and debate among industry experts and enthusiasts, underscoring the complexity of market dynamics and the interconnected nature of digital assets in the cryptocurrency space.
In conclusion, the episode involving the false BlackRock XRP ETF filing shed light on the intricate relationship between XRP and XLM, sparking discussions about their shared price movements and the underlying factors influencing their correlation.
“The fake news was literally XRP specific, and would impact XRP only, not XLM. If anything, you’d expect XLM sell off like the rest of the market. Instead, it mirrors. Why?” the analyst wondered.
XLM price retraces after pump | Source: XLMUSD on Tradingview.com
XRP and XLM have always seemed to run in the same circles and the correlation in their price movements has been a testament to that. One X user, in response to Blockchain Backer’s post, reasoned that the correlation was because both digital assets actually “share the same holders.”
One crypto analyst who has also closely tied the performance of XLM to that of XRP is Crypto Bilbuwoo. One of their long-running analysis includes both digital assets which the analyst expects to move toward new all-time highs in the same fashion.
In an October 15 post, Crypto Bilbuwoo posited that “The chart shows that 1.618 Fibonacci ratio(XLM: 6.5$, XRP: 26~33$) will be completed at the end of December.” The last time this happened was back in 2017 and the analyst expects a repeat of that trend, saying there would be a 6,500% surge for both assets.
Despite this correlation, Blockchain Backer still finds Monday’s simultaneous pump strange as he believes “those same holders would have dumped XLM for XRP. Not fomo bought XLM on that news story.”
However, as another X user explains, “Not if they believe XLM and XRP are brother and sister. There are some influencers peddling this for years. Doesn’t make logical sense but does with that narrative. XLM would be next!”
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