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XRP Price Loses 9% Gains in 48 Hours: Support Floor Holds Steady

2 mins
Updated by Harsh Notariya
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In Brief

  • XRP price erased its recent rise in a third of the time it took the altcoin to register those 9% gains.
  • The waning bullish momentum is visible on the MACD, which highlights a bearish crossover soon.
  • Participation has been consistently spiking, but no real growth has been observed, so it is not the best sign.
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XRP price continues to struggle around the $0.60 mark, hovering near it for the last month and a half.

This lack of growth is gradually resulting in macro bearishness and could flip the conditions completely.

Ripple Native Token Concedes

Like other altcoins, XRP price was a victim of the broader market’s crash over the last two days. The crypto asset fell below the 38.2% Fibonacci Retracement level for the fourth time in the last six weeks.

These consistently failing attempts at a rally are feeding the gradually developing macro bearishness, visible on the Moving Average Convergence Divergence (MACD). The MACD indicator is a trend-following momentum tool that shows the relationship between two moving averages of an asset’s price.

The waning bullish momentum suggests that a bearish crossover could be on the horizon. This potential crossover is concerning because it could lead to further price drawdown, marking the first such instance since early July.

Read more: XRP ETF Explained: What It Is and How It Works

XRP MACD.
XRP MACD. Source: TradingView

Additionally, participation on the network in the case of XRP has been consistently spiking. However, this uptick in activity has not translated into real growth. Despite higher engagement levels, active addresses have been meager, which raises concerns about the sustainability of the current market trend.

The lack of real growth in market participation is not a positive indicator of XRP’s price movement. Thus, currently, XRP holders’ activity seems to be preventing the price from falling further. This stability suggests that while the market may not be experiencing significant gains, it is also not seeing dramatic declines due to the support from current holders.

XRP Active Addresses.
XRP Active Addresses. Source: Santiment

XRP Price Prediction: Just Keep Swinging

XRP price fell by 7.5% in the last 48 hours, which was enough to wipe out the 9% gains noted recently. In fact, the sudden change in sentiment impacted this drawdown in a third of the time it took XRP to note the gains.

Nevertheless, XRP price fell below the 38.2% Fibonacci Retracement at $0.58 and is currently at $0.57. If the bearish conditions intensify, the likely outcome is a drop to $0.52, where the 23.6% Fib line lies. Also known as the bear market support floor, this level would prevent further decline.

Read more: Ripple (XRP) Price Prediction 2024/2025/2030

XRP Price Analysis.
XRP Price Analysis. Source: TradingView

On the other hand, if the altcoin follows the past tradition, it could recover above the 38.2% Fib line. This would enable the crypto asset to rise beyond $0.60, invalidating the bearish thesis.

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Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Aaryamann Shrivastava
Aaryamann Shrivastava is a technical and on-chain analyst at BeInCrypto, where he specializes in market reports on cryptocurrencies from diverse sectors, including Telegram Apps, liquid staking, Layer 1s, meme coins, artificial intelligence (AI), metaverse, internet of things (IoT), Ethereum ecosystem, and Bitcoin. Previously, he conducted market analysis and technical assessments of various altcoins at FXStreet and AMBCrypto, covering all aspects of the crypto industry, including...
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