XRP’s price has dropped by 2.13% in the last one day trading at $0.6045. This fall can be attributed to the asset’s inability to sustain the upward trend as it stands to trade just above the $0.60 mark. This critical psychological level could act as a near-term guide to the market’s direction. Consequently, the $0.62 resistance level has acted as a major hurdle and the cryptocurrency has not been able to rise beyond this mark.
During the dip the market capitalization of XRP decreased by 2.70% to $33.53 billion. Similarly, the 24-hour trading volume also significantly reduced by 49.55% to $2.7 billion. The reduction in volume could indicate that the present bearish trend may be coupled with waning enthusiasm from the market as fewer people are trading.
Consequently, the decrease in trading volume and the inability to break through the $0.62 resistance underscores the cautious sentiment among traders. The volume reduction may indicate that traders are hesitant to open new positions, likely due to the uncertainty surrounding XRP's near-term direction.
The price trend of XRP shows that it is trading in a tight range between the $0.60 and the $0.62 levels. The price tried to push through the $0.617 level but found sellers on the other side and thus trended down. If the price falls below the $0.60 support, a sell-off may occur, and the price may move towards other support levels.
On the flip side, if buying pressure rises, XRP may retest the $0.6resistance level, and a breakthrough this level may open up further gains.
The Relative Strength Index (RSI) for XRP is 57 which shows that the market is bullish, yet it is not overbought. This RSI level implies that there is the likelihood of more price appreciation in the near future especially if buying pressure is strong, yet it is trapped at $0.62 remains a major issue.
Cryptocurrency analyst by the pseudonym Dark Defender has observed that a weekly bullish hammer candle has been printed recently on the XRP price chart. This pattern was last seen in March 2017, before the price of XRP surged by more than 110,000% and reached its all-time high of over $3. This historical pattern has attracted the attention of traders and investors who are always on the lookout for signs that could signal another major price increase in XRP.
Another market analyst, XRP Shark, has also shared his long-term prediction about the XRP price, stating that it may trade between $20 and $33. As stated by XRP Shark, this target may be achieved by the end of 2025 or early 2026 if the market conditions will remain bullish and XRP will gain more recognition in the crypto space. Although such forecasts are still speculative, they indicate some analysts’ expectations of XRP’s future growth.
Similarly, XRP has also been affected by the legal dispute between Ripple Labs and the U.S. Securities and Exchange Commission (SEC). Although Ripple was compelled to pay $125 million in civil penalties, the decision was momentous, as the court ruled that Ripple’s programmatic sales of XRP were not securities law violations. This legal win has boosted the confidence of the market in XRP, especially given its recent price stability.
Following this, there has been evidence of whale activity in the XRP market, especially, wallets with over 10,000 XRP tokens have been on an upward trend in the recent past. In August alone, it was identified that 662.4 million XRP tokens were accumulated which is increase of 10.4%. This accumulation indicates that large-scale investors remain optimistic about XRP’s future, despite the current price setbacks.