- XRP price has fallen over 11% in the past 24 hours.
- Several market indicators suggested a possible change in the bearish trend.
Since the market crash, ripple’s [XRP] Prices are showing signs of correction, but there are no signs of recovery yet.
The worst is yet to come, as the token failed to test its long-term bullish pattern, hinting at further price declines.
XRP has hurdles to overcome
according to coin market cap, the token price has fallen over 18% in the past 7 days. In the past 24 hours alone, the token recorded its double-digit decline, plummeting by 11%.
At the time of this writing, XRP was trading at $0.4844 and had a market cap of over $26.7 billion.
Meanwhile, the value of XRP fell below $0.5, failing to test the six-year symmetrical triangle pattern.
As the token failed to test the pattern, investors may witness further decline in the value of the token in the coming days.
AMBCrypto’s analysis of Santiment data pointed out a significant number of bearish indicators. For example, last week the token’s MVRV ratio dropped sharply.
After the decline, the NVT ratio also gained upward momentum, suggesting that XRP is overvalued.
Additionally, the daily on-chain trading volume losses of the token have spiked sharply over the past few days, which can be attributed to the market crash.
Source: Santiment
However, XRP derivative indicators looked bullish. Its open interest declined sharply. This initiates a trend reversal that may occur in the near future, allowing the token to recover from recent losses.
Funding rates also declined. Typically, prices tend to move in the opposite direction to the funding rate, suggesting that prices may rise in the coming days.
Source: Santiment
Is another downward trend coming?
AMBCrypto then analyzed the daily chart of XRP to better understand which way XRP is heading. XRP price was touching the lower bound of the Bollinger Bands.
The token’s Relative Strength Index (RSI) has entered the oversold zone, suggesting that buying pressure on the token may increase. Chaikin Money Flow (CMF) also rose slightly, indicating an increase in price.
Source: TradingView
Nevertheless, nothing can be said with complete certainty as the global geopolitical scenario has become unstable.
The ongoing conflict in the Middle East has had a negative impact on the prices of top cryptocurrencies, which could continue to decline in the coming weeks.
read ripple’s [XRP] price prediction 2024-25
AMBCrypto checked Hyblock Capital’s data to find support levels where XRP could plummet if the downtrend continues. This token is found to have support near $0.46.
If the token tests this support, a bullish rally is expected. However, if things worsen, the price of XRP could drop to $0.42.
Source: Hyblock Capital
