- XRP (XRP) has given a breakout from the triangle pattern.
- XRP has a circulating supply of 53.3 Billion.
- XRP coin has given a return of around -6% in the last six months.
Debuted in 2021, the XRP Ledger (XRP) stands as an open-source, permissionless, and decentralized technological innovation. Among the advantages offered by the XRP Ledger are its cost-effectiveness, with transactions costing as low as $0.0002, rapid transaction settlement occurring in 3-5 seconds, impressive scalability accommodating up to 1,500 transactions per second, and its environmentally-friendly nature characterized by carbon neutrality and energy efficiency.
The XRP coin is experiencing a noticeable downtrend, losing significant momentum, and the price is forming a pattern of lower lows.
As for the open interest of XRP, it currently stands at $511.4 million, with the options volume at $584 million, showing a 46.5% decline in today’s market session.
Previously, XRP reached a high of $1.98, but this was followed by a substantial 85% decline. However, the price managed to find strong support at the $0.30 level, leading to a remarkable 200% recovery. Despite this uptrend, a subsequent downtrend began again.
Recently, the XRP price broke out of a descending triangle pattern, which is typically considered a negative signal. This suggests the likelihood of a price decline in the near future.
Furthermore, the technical summary widget gives a sell signal for XRP in the weekly timeframe, with 13 out of 26 indicators showing a sell signal.
XRP Technical Analysis
XRP by writer50_tcr on TradingView.com
XRP’s price is demonstrating considerable weakness, notably trading below both the 50-day and 100-day EMA levels. This bearish signal indicates a potential downward trajectory in the price.
Furthermore, the MACD line for XRP is positioned below the signal line, accompanied by the formation of a red histogram. These indicators collectively portray a bearish sentiment, suggesting the possibility of a price decline in the coming days.
Additionally, the RSI and SMA lines for the XRP coin are presently moving around the 35 level, which is considered a weak sign. This indicates a strong downward momentum, further supporting the likelihood of a price decline ahead.
Conclusion
According to the analysis, XRP’s price is currently experiencing a downtrend, displaying a feeble structural pattern. Over the past few months, the coin has generated negative returns. Additionally, the indicators are also giving negative signals. Consequently, the price is establishing a frail pattern, increasing the likelihood of a decline in the coming days.
Technical Levels
- Support Level: $0.40
- Resistance Level: $0.50
Disclaimer
The views and opinions of the author, or anyone named in this article, are for informational purposes only. They do not offer financial, investment, or other advice. Investing or trading crypto assets involves the risk of financial loss.
Dr. Naveen Singh is an entrepreneur with achievements in sports, academics, healthcare, innovation, blockchain technology, telecommunications, and philanthropy. He is the Co-Founder and Chief Executive Officer (CEO) of Inery, the first layer-1 blockchain programmed for database management. With Inery, he aligns with his vision of a new paradigm for data to empower web3 and complete decentralization.