XRP price has been in a bearish rally in the last 24 hours, experiencing a notable decline from approximately $0.6455 to $0.6091. This sharp decline demonstrates a notable fall in the cryptocurrency’s value over a short period, attracting attention from traders and analysts alike. At press time, XRP was trading at $0.6089, a 6.50% decline from the 24-hour high.
At the bottom of the price chart, the trading volume indicator shows that it fluctuates with distinct episodes of increased activity. These increases in volume are often accompanied by violent moves in prices, implying higher buyer or seller interests.
In this case, an increase in trading volumes coincides with more selling pressure, contributing to the nosedive in the XRP price.
Conversely, the market capitalization of XRP also decreased by 5.69%. This decrease indicates a broad market sell-off, further emphasising the bearish sentiment prevailing in the market.
The chart shows that XRP could be approaching support levels around 0.60 dollars; these are key technical analysis points where there could be some demand clustering, thus preventing downward trends.
Toward the right end of this market chart, there appears an easing off of the price drop, indicating possibly buyers stepping into this level as it may give way for declining pressures to take a break.
On the other hand, the $0.6455 level, where the decline began, can now be the resistance level. If you were to look at it keenly, resistance levels play a significant role since they denote areas where upward movements will pause due to the rise number of sellers coming into places. Traders will closely monitor these levels to gauge the potential direction of XRP's price movement.
Crypto analyst Dark Defender shared his three-monthly market chart for XRP/USD, highlighting a symmetrical triangle pattern.The feature is known for having converging support and resistance lines, thereby showing falling volatility and the possibility of a high breakout. When the prices squeeze such a triangle’s apex, a large upward or downward move is expected.
The analyst also identified key price targets using Fibonacci retracement levels and historical data. The closest resistance level is at $0.6649 with other targets including $0.9327, $1.8817 and an optimistic target of $18.2364. These targets represent considerable upside if market sentiment flips bullish.
Nevertheless, there are varying sentiments within the overall XRP market as well. Increasing numbers of wallets with 10k XRP or more indicate accumulation by investors. This kind of pattern is typically associated with increased market value, thus reflecting optimism. On the contrary, the recent drop in price and decline in market cap point to continuing bearish momentum.
Moreover, Ripple's plans to release one billion XRP tokens in August which can influence the market dynamics. Raising token supply usually leads to lower prices but some experts say it could improve liquidity thereby backing a bull run depending on investor psychology. On top of this, the SEC amending Binance lawsuit has made an optimistic outlook for XRP with the expectation of a favourable ruling supporting XRP hence creating a way for a potential positive rally.