TL;DR

The unpredictability of the cryptocurrency market strikes again as Ripples native token just proved a few analysts wrong with a massive surge. This came less than a week after predictions about a price dip to and below $2.4.

Analysts Get it Wrong

Recall that just a few days ago, CryptoPotato cited several metrics posted by a renowned analyst about a potential price drop for XRP. The asset had already declined by 20% from its all-time high marked in mid-July and struggled to remain above $2.8.

It had lost the crucial $3 support, whales were selling off en masse, the MVRV had created a death cross, and the TD Sequential was flashing a sell signal. Consequently, the overall anticipation was that a pullback toward $2.4 and even lower would occur if that support level cracked.

However, that hasnt been the case. Just the opposite; XRP remained solid around $2.8 for a few days and climbed toward $3 by Thursday. Santiment attributed this silent price recovery to an explosive rise in network activity.

XRP has somewhat quietly risen back up to a $3.05 market value, and is up +10.1% since its network suddenly surged with transaction volume (a 6-month high) and circulation. Utility spikes on the network consistently foreshadow price jumps.

Link: https://t.co/yOPDW415GX pic.twitter.com/0W9hz6PJxP

The real price pump transpired in the past day or so, following news that Ripple and the SEC have jointly dropped their appeals in the court battle between the two. This means that the lawsuit, which started nearly five years ago, has finally come to an end, months after Ripples CEO said it had finished.

Another impressive development for the company was announced yesterday, as Ripple had agreed to purchase the payments provider Rail for $200 million.

The Unpredictability

This article is not intended as a shot against analysts who get it wrong sometimes, especially those who have a proven track record and a sizeable number of followers. Instead, it should serve more as a reminder about the unpredictable nature of the digital asset market.

Aside from the aforementioned bearish signs for XRP, the entire market was shaky following the latest global uncertainties prompted by Trumps macro policies. However, unexpected news, such as the closure of the SEC lawsuit, can send the underlying asset flying, and this is the dark horse that cannot be predicted and can leave traders in shambles if they follow any tips blindly and overdo their respective positions (especially when using leverage).