XRP/USDT - Steemit Crypto Academy | S6W1 | Team Trading Competition Post for fredquantum-kouba01 Traders Team

Hello everybody.

Welcome to this post. Hopefully, all of you will be good and happy and enjoying good health with the grace and blessings of Almighty Allah. As we know that there is a new initiative in the Crypto Academy Season 6 that is Crypto Trading Competitions. Thanks to the Steemit Team for providing us with such an amazing opportunity to utilize the knowledge that we gained from the academy so far in the real trades.

This is my 5th trade this week. So, let's start the task without any wastage of time.

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The coin that I selected for trading is XRP/USDT pair and the exchange for this trading is Binance exchange I will do future trading on Binance

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Introduction of Binance Exchange

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Binance is the world's largest cryptocurrency exchange. Binance was launched by a group of people in 2017 which is now working in many countries including Pakistan India Bangladesh and other countries of Asia with its great number of users. I have knowledge of some other exchanges such as Kucoin, meta 4 trade but I prefer Binance because it is easy to use for me. Binance provides its user with money by which we can trade with more than money in our account. There is a wallet is present in Binance where we can deposit our assets. We can also connect our trust wallet to Binance in order to make a trade.

As far as trading is concerned there are types of trading that take place in Binance including spot trading, futures trading, and margin trading. In spot trading, we buy a cryptocurrency when the market is down and we wait for the market to go up, and then we sell our cryptocurrency. But in the case of futures trading we can trade both when market is going down by trading as sell short and when market is going up we can trade as buy long. In both cases we can get huge profit. In future trading we can trade with more amount than we have in our wallet by setting leverage trading.

We can sell or buy cryptocurrency in Binance from the P2P system. It works in a decentralized way in such case that we do not need to deposit our money to a third party. We can hold our money in our wallet of Binance whose password and keys are also in our access. The main man who built the Binance exchange and work for its progress is Changbang Zhao. In Binance now there are almost 450 trading pairs are present with almost 155 coins that are listed on the Binance.

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Basic introduction about XRP coin and Ripple network

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XRP is the digital asset for representing the transfer value across the Ripple network also known as ripple net. That was created and operated by the newest based technology company known as ripple labs. The main goal of ripple is to connect banks payments providers and digital assets exchange to provide a solution for real-time and cost effective global money transfer

X-rapid is an on-demand liquidity solution provided by ripple labs. It is designed for financial institutes to use ripple XRP assets as bridge currency between fiat currency. When making cross border payments XRP and X-rapid really on ripple protocol technology called ripple protocol consensus algorithm and all the information of ripple accounts and XRP transaction are stored in a common shared ladger.

This ledger is managed by network of independent validating nodes that constantly Compare their transaction records. These notes can belong to anyone from individuals to banks. However ripple recommend its clients use a list of identified trusted participants also known as a unique node list. With XRP payment providers can reach other smaller markets, enjoy faster payment settlement, and reduce foreign exchange overall cost. XRP ledger is open-sourced and maintained by a global and independent community of which ripple is an active member.

Coin market cap of XRP:

Coin Market Cap of the XRP shows that it is at 6th ranked cryptocurrency which is very good and its current price nowadays is 0.7111 XRP/USDT.

Name	XRP
Ranked	6th
Network	Ripple Labs
Market cap	$34095412422
Fully diluted market cap	$71107244182
Volume	$3808534349
Circulating supply	47.95B XRP
Maximum supply	100000000000
Total supply	99989739391
Volume/market cap	0.1113

Market listing XRP coin:

As we explore coin market cap we come to know about different exchanges where we can trade the XRP/USDT pair very easily. These include Binance Kucoin, gate.io, and many more.

So in the above screenshot, we can see the different pairs on different exchanges and also the volume of XRP.

As cryptocurrency is highly fluctuating currency so the price of xrp/usdt pair for last week can be seen from above screenshot.

Why I am so much optimistic about XRP:

There are some reason why I am so much keen to buy and very optimistic about XRP. 1st of all we can see that it is ranked 6 in the cryptocurrency which makes it good to believe as a good cryptocurrency. This also provide a reliable financial statement option for major financial institution and banks around the world. So also makes it centralized cryptocurrency to some extent and directly involved with general banking community. XRP has a bright future because it is used for variety of purposes such as receiving and transferring digital currencies including money transfer and information transfer.

Another reason is that ripple transaction protocol is also well known for being able to handle very large transfer across countries for the Lowest fee compared to centralized financial institution and banks. XRP is a cryptocurrency that is widely accepted by major financial institutions and banks. Xrp has upper leg in widespread industry adoption. It also synergy between fiat and cryptocurrency that no other major cryptocurrency has successfully been able to achieve and has also adopted by over 80 banks worldwide.

Ripple values have skyrocketed since its initial offering and even its price has held it has grown steadily overall hence considering the increased rate of adoption and partnership that ripple has been investing along with the current rate of value growth investing in ripple could be well prove to give an investor a very reliable ROI in the future. Ripple has has very fast transaction rate . It almost takes only three seconds for transaction and also a very low transaction fee so due to all these reasons I am very optimistic about the ripple coin and it also has a very bright future.

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Technical analysis by using different indicators

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Technical analysis is very necessary in order to have complete understanding of the crypto market. Especially when you are doing future trading technical analysis is become compulsory for trading because even a small misunderstanding in trading may lead to complete loss of your assets which is the point of liquidation. So that is why technical analysis must be learnt before entering the market. By understanding technical indicators we can easily predict the market trends and can gain profit from the trade . So here I will also 1st do technical analysis by using different indicator.

• Parabolic SAR:

The parabolic SAR indicator can be used to check the reversal of market trends and also to check whether there will be a bullish trend or a bearish trend in the market. This is so simple and easily handleable indicator. In future trading, we can use this indicator for the prediction of both sell short and buy long trade. This indicator is represented by dots that are shown above and below the price movement trend line.

• If the dots are above the candle which means that market will further go down and in future trading here we should go for sell short and also keep our stop loss below the resistance level because if it reaches the resistance level and that level is broken in leverage trading than we may lose our whole money at liquidation point.

• If dots are present below the candles of the price movement line then there is a signal of buying long in this case. One thing kept in mind does not to enter quickly in the market as just 1 or 2 dots are formed above or below the market. Just wait until a minimum of three dots is formed on the respective site then we should enter the market.

• Exponential Moving Average indicator:

If we use an exponential moving average indicator this also gives us an indication of the price movement trend. Among moving average indicator this indicator mostly give importance to recent price changes as compared to other moving averages which give equal weight to all observation.

In EMA two moving averages are selected one with fewer days average which is sharp while others os more days average which is slow.

• When fewer days moving averages cross the slow-moving average with more days average and moves upward than it will be an uptrend and if higher days moving average is above than it will be a bearish signal.

• Triple exponential moving average indicator:

Triple exponential moving average indicator is also good for short period trading as it also gives more importance to recent price changes. It includes three moving average that indicates the single line.

• If the line of TEMA is above the price movement trend than this will be the bearish signal and market will go down.

• If the line of TEMA is below the price movement trend then this will the bullish signal and market will go up.

• Relative strength index indicator:

In the last we confirmed our trend by using the RSI indicator that gives us an indication about the oversold and overbought condition. RSI is divided into a total of 100 parts.

• If the value of RSI is below 30 then this will be a condition to enter as buy long in future trading as this point is oversold condition and after that market will go up.

• If the value of RSI is above 70 then this will overbought condition and after that market will go down and here we should enter as sell short.

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Real trade of XRP/USDT

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So the main purpose of this week's lectures is to get an understanding of real trade so Here I am going to make future trading on binnance exchange with XRP/USDT pair.

• Here I used the Exponential Moving Average indicator and used a cross-over strategy. Here one exponential moving average is of 9 days which is a short exponential moving average and is sharp while other is 21 days average exponential moving average indicator. As I entered the market I have seen that the short days moving average indicator is above the long days' average indicator which is a sign of a bullish trend and the market will go up. So I entered the market in future trade as buy long in this case which proves good for me.

• Than I confirm the trend by using parabolic SAR indicator which is also my favorite indicator. When I apply this indicator on the chart I have seen that dots are below the price chart so It also indicate that we should enter the market as buy long. So I do the same and buy a long as XRP/USDT pair.

So after that, I made a real trade by setting 6x leverage on Binance exchange as you all can see. I entered the market at a price of $0.7773 and now you can see the price is increasing.

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My plan of this trade

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As I am doing the future trading so I think it is not to keep trade for a long period of time in the future trading zone. Because of volatility in the market any time market goes down and our assets may deplete. As far as my plan is concerned I will take the profit that I have set just below the resistance level of XRP when it will touch the resistance level I will take my profit and exit the trade. Because as I am not so much expert still now so I would not want to take risk and I mostly do scalping trading so that is why when I got some profit i will exit the trade to avail my profit.

• Recommendation to others about this coin:

It is best for those people to recommend others who are well trained in this field and know everything about the market trends. As I am not so much professional trader. As I just do small trade by seeing the indicator and when I got some profit I exit the trade so as far as recommending others I recommend others if they are doing the trade-in future wallet than they should not take the trade because future trading also has a high fee of keeping assets and also market abruptly changes and you may face huge loss of your whole assets.

While in case of long term trading in spot wallet I think it is a good project and due to its a lot advantage that I have explained in my topic of why I am optimistic on this coin such as low fee and only currency that is widely accepted in almost over 90 banks and transaction also takes place in 3 seconds so these are some features that show that its price may go very high in future so If one has the capacity to keep this for long term than he should go for it in spot wallet.

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Additional information about XRP coin

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So in addition I want to add some social media accounts and information about xrp coin because social media is a platform where we can het the best information and each and every kind of information at our doorstep.

• Here below you can see the official Twitter account of XRP coin from where we can get every information related to XRP market and other projects.

• Here is the Twitter account of the Ripple network or company which introduced the XRP coin in the crypto market.

• Here is the Instagram for the XRP coin from where we can also get more and more information about XRP and Ripple.

Here in the given link you can study the white paper of the XRP coin.

• White paper

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Conclusions

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As this week is for trading contests which are a good initiative for people to learn about trading and apply the knowledge that they got from previous sessions and from this session. In this lecture, I select XRP/USDT coin for trading on Binance as future trade. Xrp is a digital currency that is used as an exchange of funds across the border. Here the transaction fee and too low and the transaction speed is very high. After giving brief introduction of XRP and Binance exchange I explained why I am so much optimistic about this coin and after that I go to the future wallet of Binance Exchange to make my trade.

I select 6x leverage and then the trade of almost 13 usdt at the price of $0.7773 and enter the market as buy long. Then I told about my plan of keeping or selling of this trade and about recommendations to others about this coin. In the last I have given some extra information about the social media accounts of the XRP and ripple and also the white paper of XRP coin which can be read for some extra information.

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Thanks to dear professors @kouba01 and @fredquantum for such an amazing opportunity by leading an amazing team.

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Writer: @steemdoctor1 (Crypto Student)

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