XRP Downfall Sparks a New Buying Spot: Price Analysis
• XRP prices have dropped by 12% in the last four days due to extensive selling pressure.
• The falling wedge pattern was broken, leading to a sharp fall in Ripple’s market value.
• The current XRP market price struggles to sustain above the 50-day EMA and may continue downtrending to the 61.80% Fibonacci level at $0.53.
XRP Price Analysis
XRP has had a turbulent few days, with prices dropping by 12% in the last four days due to extensive selling pressure at the resistance trendline. This led to a break of the falling wedge pattern and a sharp fall in Ripple’s market value. Currently, the XRP market price is struggling to stay above the 50-day EMA while it appears that it may continue downtrending to the 61.80% Fibonacci level at $0.53.
Following an impressive spike of 73% on 13 July after winning partially in its SEC case, XRP reached an all-time high of $0.82 but its bullish rally couldn’t be maintained and resulted in a double top formation at $0.82 with a neckline at $0.70. In addition, this decline was depicted in bearish wedge pattern on the daily chart which broke down due to excessive selling pressure pushing RSI below halfway line signifying strong underlying bearish momentum for further downside movement towards 38.20% Fibonacci level at $0.64 .
The downfall rally could potentially reach down till 61 .8 % Fibonacci level at 0 .53 as there is support zone along with this fib level which increases chances of bullish comeback . Moreover , this will also act as retest for positive breakout giving good entry point for long positions .
50 Day Moving Average
The 50 day moving average (EMA) seems unable to stop further breakdown rally as Ripple is trading below it heavily indicating more losses ahead until it reaches again near EMA line or any other psychological levels such as 0 .7 or 0 .6 round figure mark .
Overall , considering current technical signals , it appears that XRP might go even lower from here before bulls are able take control over bears and push prices up again especially if there are any updates regarding SEC lawsuit affecting crypto markets positively or negatively making buying opportunity for interested traders and investors .