- Ripple’s XRP depreciated by 7.19% in 24 hours due to Bitcoin’s fall.
- The SEC has been granted permission to appeal against XRP’s victory.
- XRP’s downward momentum could present a buying opportunity for short-term traders.
In line with the broader market trends, Ripple’s
As per CoinMarketCap data, XRP is currently trading at $0.50. This indicates that its performance over the past week has been the least impressive among the top 10 cryptocurrencies by market cap. The recent weeks have been rather challenging for the XRP community.
Adding to its woes, the SEC has been granted permission to appeal against XRP’s partial victory in July. However, market participants are currently weighing up whether this downturn offers a profitable “buy the dip” scenario or if it indicates a prolonged bearish phase in the future.
The daily chart reveals that XRP was significantly oversold, as evidenced by the Relative Strength Index (RSI), which stood at 22.53 at the time of reporting. Despite the prevailing bearish momentum, this could present a lucrative buying opportunity for short-term traders, particularly considering XRP’s past performance.
For example, on July 6, when the Relative Strength Index (RSI) neared the 30 mark, XRP experienced a price reversal from its standing at $0.46. Subsequently, the digital asset’s value experienced a significant surge, a development that cannot be disassociated from the influence of the SEC ruling during that period.
Should the downward momentum persist, XRP may experience a further dip, with the next support levels anticipated around $0.45 to $0.49. Moreover, these price points present optimal entry opportunities for traders seeking to capitalize on market stabilization.
Simultaneously, market participants should be vigilant of escalating volatility, as the Bollinger Bands (BB) indicates. The above chart further substantiates the idea that XRP was oversold, as the lower band intersected with the price at $0.50. Consequently, a robust price correction may occur within the next few days.
The Know Sure Thing Indicator (KST) has also transitioned into negative territory. This bearish signal suggests that the prevailing market momentum is leaning towards the sellers in the cryptocurrency space.
Additionally, given the downward trajectory of the KST, the bearish momentum may soon diminish. As a result, XRP could pivot towards an upward trend with the emergence of even minimal buying pressure.
Should there be a resurgence in demand, XRP has the potential to escalate to a value of $0.55. However, surpassing the $0.60 mark would necessitate the impact of macroeconomic external elements.
Disclaimer: The insights, perspectives, and data presented in this price analysis are published in good faith. Readers must conduct their own research due diligence. Any decision made by the reader is solely their responsibility, and Crypto Outlooks shall not be held responsible for any consequential or incidental harm or loss.
