The pressure on XRP and the cryptocurrency market continues to be exerted by the actions of the Chinese authorities.
According to the news, the Chinese government is trying to weaken the mining industry:
- Assets of Century Cloud Core, a subsidiary of the mining firm Bitmain, were frozen
- The Head of MicroBT, a company that manufactures equipment for cryptocurrency mining, was arrested
- As part of a fight against stealing electricity, a large number of ASIC miners have been confiscated
XRP/USD Over a Four-Hour (H4) Period
Looking at the four-hour period, XRP/USD maintained neutrality. At the same time, the chart overcame a downtrend, which is good news. However, the level near the $0.198 region has kept the price from growing any further.
XRP/USD Over an Hour (H1) Period
The hour period completely repeats the four-hour period. The force of the bulls is not enough to break the aforementioned level.
It is important to note that the actions by the Chinese authorities look rather strange, given the fact that mining in China is not officially prohibited.
Even optimistic comments by Ripple's CEO Brad Garlinghouse, who managed to attract investments a record $200 million in 2019, could not help XRP.
What Can Strengthen XRP/USD in the Near Future?
Ripple is heading to Brazil to forge a new partnership there.
Brazil is a leader in innovative technologies and is ready to open up this path for the rest of Latin America.
In addition to Brazil, Ripple is focused on expansion into several other South American countries including Chile, Peru, and Argentina.
As a Side Note:
The company is currently working with Santander Brasil, Bradesco, and Banco Rendimento, which utilizes a payment system but does not yet use XRP.