XRP (XRP) has bounced nearly 30% after a four-month low of $1.61 amid rising tariff tensions. However, the rebound may be short-lived as technical patterns and on-chain signals now point to a deeper correction ahead.XRP cup-and-handle pattern hints at 40% drop XRP is forming a classic bearish reversal pattern that could see its price falling by at least 40% in the coming weeks.Dubbed inverse-cup-and-handle (IC&H), the pattern forms when the price rounds off in a curved descent (cup) followed by a brief consolidation phase (handle) — all atop a common neckline support level. Inverted cup-and-handle pattern illustrated. Source: MediumThe pattern is confirmed by a breakdown stage, where the price breaks decisively below support and falls by as much as the pattern’s maximum height. As of April 19, XRP had entered the pattern’s handle-formation phase, eyeing a decisive close below the neckline support at around $2. In this case, the primary downside target will likely be around $1.24, almost 40% below current prices.XRP/USD three-day price chart. Source: TradingViewThe IC&H target aligns with XRP’s 200-3D exponential moving average (200-3D EMA; the blue wave) at around $1.28 — and further coincides with a November 2024 top.Additionally, veteran trader Peter Brandt suggests that XRP’s market cap could drop by 50% in the coming weeks.Source: Peter BrandtXRP onchain fractal hints at 50% correction XRP’s inverse cup-and-handle pattern is unfolding in line with its historical price behavior, signaling that its 2025 rally may have topped out. For instance, the cryptocurrency saw sharp pullbacks to its aggregated realized price following major surges in previous cycles, most notably in 2018 and 2021.XRP realized price by age (aggregated). Source: GlassnodeFor traders, the realized price serves as a psychological benchmark, representing the average price at which the XRP supply was last moved. When the market price trades well above this level, most holders are in profit, which can encourage complacency or profit-taking. Conversely, if the price nears the realized price, fear of losses tends to rise, and selling pressure can intensify.In 2025, XRP surged past $3.20 before losing steam, repeating patterns seen in past bull-to-bear cycles. The current realized price at around $1, a likely downside target in 2025 down about 50% from the current prices.Interestingly, XRP’s $1 realized price target is closer to its 200-week EMA (the blue wave in the chart below) at $0.81, a bear market target discussed in Cointelegraph’s analysis in late March.XRP/USD weekly price chart. Source: TradingViewAdding to the bearish outlook, over 80% of XRP addresses are currently in profit. The metric historically reached similar levels during previous market tops, often preceding significant rounds of profit-taking and pullbacks. Related: 81.6% of XRP supply is in profit, but traders in Korea are turning bearish — Here is whyXRP percent of addresses in profit. Source: GlassnodeIf history repeats, such similar conditions could incentivize traders to exit positions, accelerating XRP’s retracement toward the realized price.Odds of XRP hitting record highs are declining Sentiment around XRP reaching a new all-time high above the $3.55 level is deteriorating, according to prediction market data from Polymarket. As of April 19, the odds of XRP achieving this milestone before 2026 have dropped to just 35%, marking a sharp 25% decline from peak confidence levels in March, as shown below.XRP all-time highs before 2026 odds. Source: PolymarketThe upside momentum in the crypto market has faded overall in April, coinciding with a broader decline in risk appetite driven by escalating global tariff tensions under Donald Trump’s trade policies.This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

The growing adoption of cryptocurrencies may pose risks to the traditional financial system and exacerbate wealth inequality, according to the Bank for International Settlements (BIS).In an April 15 report, the BIS warned that the number of investors and amount of capital in crypto and decentralized finance (DeFi) have “reached a critical mass,” with investor protection becoming a “significant concern for regulators.”The size of the crypto market signals that authorities should be worried about the “stability of crypto over and above the role it may have for TradFi and the real economy,” the report states, highlighting the role of stablecoins, which the BIS said have “become the means through which participants transfer value within crypto.”BIS report on crypto and DeFi’s functions and financial stability implications. Source: BISThe report calls for targeted stablecoin regulation on stability and reserve asset requirements that will guarantee the redemption of stablecoins for US dollars during “stressed market conditions.”Related: Spar supermarket in Switzerland starts accepting Bitcoin paymentsThe report comes two weeks after the US House Financial Services Committee passed the Stablecoin Transparency and Accountability for a Better Ledger Economy, or STABLE Act, with a 32–17 vote on April 2.Source: Financial Services GOPThe STABLE Act aims to create a clear regulatory framework for dollar-denominated payment stablecoins, emphasizing transparency and consumer protection.On March 13, the GENIUS Act, short for Guiding and Establishing National Innovation for US Stablecoins, passed the Senate Banking Committee by a vote of 18–6. The act aims to establish collateralization guidelines and require full compliance with Anti-Money Laundering laws from stablecoin issuers.Related: $400M Web3 investment fund ABCDE halts new investments, fundraisingCrypto may exacerbate wealth gapThe BIS also raised concerns about how crypto markets may worsen income inequality by enabling larger investors to capitalize on the emotions of less sophisticated retail participants, as seen during the FTX collapse in 2022.Whale vs retail activity after FTX collapse. Source:  BIS“As prices tumbled in 2022, users actually traded more,” the BIS report noted. “Most disturbingly, large bitcoin holders (“whales”) were selling as ordinary retail investors (“krill”) were buying.” It added:“This implies that the crypto market, which is often presented as an opportunity for inclusive growth and financial stability, can be a means for redistributing wealth from the poorer to the wealthier.”The report concludes that DeFi and TradFi have similar underlying economic drivers, but DeFi’s “distinctive features,” like “smart contract and composability,” present new challenges that need proactive regulatory interventions to “safeguard financial stability, while fostering innovation.”Magazine: Uni students crypto ‘grooming’ scandal, 67K scammed by fake women: Asia Express

The creator of Ethereum layer 2 blockchain Base, Jesse Pollak, has apologized following backlash over posting digital artwork that controversially played on Base’s tagline, “Base is for everyone.”Several social media users found the artwork offensive and inappropriate.“It was a single phrase among many, but I’ll own this was a mistake and apologize,” Pollak said in an April 18 X post referring to his decision to reshare a GIF image that featured the phrase “Base is for...” followed by a rotating sequence of words, including both controversial terms like “pimping” and “squirting,” as well as more neutral ones like “art,” “minting,” and “ideas.”Pollak says he appreciates “provocative art”Pollak emphasized that the artwork was made by a creator, not him, and specifically apologized for the image featuring the phrase “Base is for pimping.”Pollak said that while he wants to support artists building on Base and admits he appreciates “provocative art,” he recognizes the need to be mindful of his shared messages, especially when they appear to come directly from him.Source: Jesse PollakIt comes after criticism from several crypto industry participants who took to social media to voice their disappointment over Pollak’s endorsement of the image, calling out the use of the word “pimping.”Crypto commentator “Kristel” said in an April 18 X post, “so we’re just casually platforming pimping now?” “I get pushing boundaries, but this isn’t it,” she said.“This isn’t provocative and ‘edgy,” she added. Kanto Labs founder said it is an “absolute PR nightmare.”Meanwhile, crypto commentator David Z. Morris said this “doesn’t just hurt Base, it hurts crypto.” Morris added:“The specific allusion to sex trafficking (not “sex work,” pimping is pretty fundamentally exploitation) is specifically bad for a sector that needs to advance the narrative that open finance is a net social positive.”However, many praised Pollak for the apology and his continued efforts to push boundaries in the crypto industry. “Love the honesty. We all make mistakes, but it’s about how we grow from them,” crypto commentator Zuri said.Bankless co-founder David Hoffman said, “I respect the leadership here.” Milk Road co-founder Kyle Reidhead said, “Do and share whatever you want without apology.”Base was at the center of controversy only days ago when the official X account shared a post promoting a memecoin with its marketing tagline, “Base is for everyone.” Related: Base creator Jesse Pollak to join Coinbase exec team and lead wallet chargeIt also shared a link to a token of the same name on Zora, a social network where users can make posts into tokens for others to speculate on.In just over an hour after it was created, the Base is for everyone token hit a peak market capitalization of $17.1 million — then dropped by nearly 90% over the next 20 minutes to a market value of $1.9 million, according to DEX Screener data.A Coinbase spokeswoman distanced Base from the token, telling Cointelegraph on April 17, "Base did not launch a token.” “This is not an official Base token, and Base did not sell this token. Base posted on Zora, which automatically tokenizes content,” the spokeswoman said.Magazine: Make Ethereum feel like Ethereum again: Based rollups explained

Tokenized stocks are on track to exceed $1 trillion in market capitalization in the coming years as adoption accelerates, two industry executives said at the TokenizeThis conference in New York. The total addressable market for tokenized stocks — a type of tokenized real-world asset (RWA) —  is difficult to project but is “definitely a bigger trillion-dollar market,” Arnab Naskar, STOKR’s CEO, said during an April 16 panel at the event.In 2025, demand for the instruments has “exploded” from institutions ranging from Web3 wallets to neobanks to traditional financial services firms, according to Anna Wroblewska, Dinari’s Chief Business Officer. “We've had an enormous influx of demand from a much broader scope of potential partners than you might even imagine [...] it's actually been really interesting,” Wroblewska said.Tokenized stocks are still a small portion of the total RWA market. Source: RWA.xyzRelated: Tokenization can transform US markets if Trump clears the waySmall but growing market shareAs of April 18, tokenized stocks comprise around $350 million in cumulative market capitalization, according to data from RWA.xyz. This represents only a sliver of the total RWA market, which is worth upward of $18 billion, the data shows. But this could change as tokenized stocks capture a growing share of the US equities market, Wroblewska said. The US stock market has an aggregate value of more than $50 trillion, according to Siblis Research. There is a “huge appetite for US public equities... even individual investors globally want exposure to US capital markets. Tokenization makes it fast and cheap,” Wroblewska said. She added that tokenized US Treasury Bills are already in high demand for similar reasons. They currently comprise nearly $6 billion in total market cap, RWA.xyz data shows. Meanwhile, Coinbase is considering making tokenized shares of its stock available on Base, its Ethereum layer-2 network.Collectively, tokenized RWAs represent a $30 trillion market opportunity globally, Colin Butler, Movement Labs’ global head of institutional capital, told Cointelegraph in an August interview.“Tokenization will become a mirror of the market. If the user experience is better, faster, and cheaper, people will default to tokenized assets,” Wroblewska said.Magazine: SEC’s U-turn on crypto leaves key questions unanswered