Ripple invites security researchers to find bugs as XRP rallies 4% to erase Monday losses

• Ripple announced its RippleX Bug Bounty Program, inviting security researchers to find potential bugs in its projects. 
• Ripple has already awarded over $1 million in bounties and its codebase spans Multi-Purpose Tokens, Oracles, Lending Protocol, DID, among others. 
• XRP is likely to sweep liquidity at $0.4700 prior to the altcoin’s attempt to break $0.6000 resistance.

Ripple (XRP) suffered a steep correction in the crypto market carnage on Monday. XRP slipped to a $0.4300 low, its lowest level since mid-July, on August 5. 

But the altcoin has rallied 4% on Tuesday, erasing recent losses. However, technical indicators suggest XRP could revisit the $0.4700 support level prior to its recovery. XRP could then rally to its $0.6000 psychological resistance level following the liquidity sweep.

In other news, Ripple made an important announcement for security researchers on Tuesday. 

Daily Digest Market Movers: Ripple announces Bug Bounty program post massive sell-off

• Bloody Monday, what the analysts like to call August 5, brought a steep correction in XRP price. The native token of the XRPLedger slipped to its monthly low of $0.43, alongside a massive decline in Bitcoin and top 30 cryptocurrencies. 
• Ripple announced a reward program for security researchers as part of its RippleX Bug Bounty Program, early on Tuesday. 
• The payment remittance firm called researchers to identify potential vulnerabilities in its code base. This includes XRP Ledger’s Multi-Purpose Tokens, Oracles, Lending Protocol, DID, among other projects. 

• Ripple notes that the firm has already awarded over $1 million in bounties to researchers recently. 
• The firm announced a Bug Bounty Live Hack event, a 48-hour challenge to identify potential vulnerabilities, workshops and collaborations for security researchers. 

Technical analysis: Ripple could sweep liquidity at $0.47 post recovery

XRP/USDT daily chart shows the likelihood of a liquidity sweep to support at $0.4700, prior to a recovery in Ripple price. The altcoin could extend losses by 7% and sweep $0.4700 level, the upper boundary of an imbalance zone, seen in the chart below. 

Ripple’s target is the psychological resistance at $0.6000, and the altcoin could break into a rally following the liquidity sweep. XRP could face resistance at the Fair Value Gap (FVG) between $0.5188 and $0.5406. 

The Moving Average Convergence Divergence (MACD) indicator supports the thesis of a decline in the asset, signaling a negative underlying momentum in the XRP price trend. 

XRP/USDT daily chart 

A daily candlestick close above $0.5500 could invalidate the bearish thesis and XRP could rally to its $0.6000 target.