Back

XRP Will Fall All the Way to $0.03, Predicts Well-Known Trader

author avatar

Written by
Valdrin Tahiri

editor avatar

Edited by
Max Moeller

30 November 2019 05:27 UTC
Trusted

The XRP price has been gradually decreasing since August. It has reached a significant support area where it is currently consolidating.

On November 25, almost 50 million XRP were moved to the Bitstamp cryptocurrency exchange from an unknown wallet. This was initially expected to cause a movement in the XRP price, but nothing materialized. On the contrary, the XRP price is very gradually decreasing at the rate of a descending support line.

Well-known TradingView analyst @magicpoopcannon stated that he believes that the XRP price will eventually fall to $0.03. However, he believes this decrease is conditional on the price of Bitcoin falling to $1000.

Sponsored
Sponsored

The decrease would amount to an 86 percent drop from the current price. Let’s take a closer look at the price history and see how likely that is.

Significant XRP Price Support

Sponsored
Sponsored

Looking at the logarithmic XRP price, we can see that the price is currently inside a strong support area at $0.22.

Below, there is another support area at $0.14, followed by $0.06, created by the March 2018 highs and finally $0.03.

Therefore, for the target to be reached, the XRP price would have to break down below three significant support areas.

XRP Logarithmic Price

The main bearish indication for the XRP price is the broken ascending support line. The price validated it as resistance twice afterward.

However, on a bullish note, there is a strong long-term bullish divergence in both the RSI and the MACD. Since this divergence is present in a higher time-frame, it often indicates that an upward move will follow.

XRP Divergence

Sponsored
Sponsored

Furthermore, the daily time-frame shows that the XRP price is following a descending support line.

Additionally, the daily RSI is at 23. The only time it was lower was during August 13, when a rapid upward move followed soon.

Therefore, while it is possible that the price continues to decrease at the rate predicted by the descending support line, a breakdown seems unlikely.

XRP RSI

To conclude, we do not believe the XRP price is likely to fall to $0.03. While the possibility is there, especially if Bitcoin goes to $1000, that also seems unlikely.


Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.

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 Conditions, Privacy Policy, and Disclaimers have been updated.