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Price Analysis

Ripple Price under pressure, XRP/USD Bears Target $0.35

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Whats next for Ripple Cover

The Ripple price, like most crypto assets, is down double-digits in the last week of trading. Weighed down by a string of bad news and, to some degree, dropping liquidity, the coin is under-performing the resurgent USD and steady versus BTC.

As of writing on Mar 1, the XRP price is down 22 percent week-to-date, paring losses with BTC and gaining against the pummeled ETH.

The path of least resistance has been set, and bears are in control. In the immediate term, bears might have the upper hand. However, fundamental events, especially how the lawsuit pans out in the next few months, might have a considerable impact on price action.

According to trackers, XRP trading volumes are down five percent on the last day to $3.5 billion. At spot valuations, XRP is perched at seventh, down from third—a position it held in November.

Ripple (XRP) Price Overview

XRP traders remain optimistic. Due to the United States Securities and Exchange Commission (SEC) lawsuit, the coin’s valuation slide, causing destabilization in price action and setting the tone for the current trend.

Syncing with the general market trend (southwards), the XRP/USD price is trading within a bearish breakout pattern. The close below the middle BB—previous support now resistance–and the confirmation of Feb 24 on-wards point to sellers.

A resumption of bulls requires a sharp reversal of the current trend with high trading volumes above Feb 23 highs to around $0.60. Further gains above $0.65 trigger buyers targeting $0.85—September 2018 highs–and $1—a psychological round number.

On the lower end, losses below the Feb 23 bear bar and $0.35—the 78.6 percent Fibonacci retracement level of the November 2020 trade range cancels the uptrend. It sets in motion another wave of correction that may push XRP prices back to $0.20.

Ripple Market Movers

Ripple is building the internet of value based on the blockchain to rival legacy systems. Its suite, RippleNet, is widely adopted.

On the other hand, traders track how banks use On-Demand Liquidity (ODL), which uses XRP for quick and cheap transfers.

The November 2020 pump was ahead of the Flare airdrop. The solution will bring XRP to DeFi:

And looking to partner with central banks looking to issue CBDCs. The open-source XRPL is suitable as a minting layer:

Even though MoneyGram, a money transfer giant, is putting on hold their partnership with Ripple, the SEC’s case is weak—analysts contend. After clarity, initial FOMO and institutional interest could push XRP to new levels:

Ripple Price Prediction

Ripple Price under pressure, XRP/USD Bears Target $0.35

The XRP/USD price is under pressure, moving within a larger bull flag of the November 2020 trade range.

Prices are technically making higher lows and lower highs, as visible in the daily chart.

In the immediate term, XRP prices may slump in a bearish breakout pattern following steep losses of Feb 23.

Accordingly, odds of XRP/USD falling to $0.35 and the support trend line connecting the lows of Dec and Jan 2021 is possible. It may be accelerated if XRP prices fall below Feb 23 lows, confirming bears from volume analysis, therefore, confirming losses of Feb 1. In such a case, every high may be an opportunity for sellers targeting $0.35—or lower, in the next few days.

Further losses below the main support trend line could see the XRP/USD pair slide to $0.20.

On the flip side, sharp gains above $0.60 and Feb 23 highs will rejuvenate bulls aiming to cancel the downtrend at $0.65 in the medium term.

Chart courtesy of Trading View

Disclaimer: Opinions expressed are not investment advice. Do your research.

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