XRP Price Analysis: Potential Downturn on the Horizon
In a recent analysis, experts predict that XRP might be heading towards a significant downturn, potentially reaching $1.7, as bearish technical signals are becoming more pronounced. This prediction, shared by the cryptocurrency analyst TradingShot, highlights the growing concerns over XRP’s future price movements.
Insights into XRP’s Trading Patterns
For nearly a year, XRP has been navigating within a long-term ascending channel. However, recent price formations indicate an increased risk of downward pressure. An analysis published on TradingView on October 17 reveals that XRP has been moving in an upward channel pattern since late November 2024. Despite this, last week’s sell-off has triggered a new bearish phase.
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The XRP price has breached the mid-level of this ascending channel, suggesting a strengthening downward momentum.
XRP Key Price Levels to Monitor
The analyst highlights a bearish crossover between the 1-day, 50-day, and 100-day moving averages, which strengthens the negative outlook. This situation is reminiscent of a similar signal from earlier in the year that pushed XRP below the 0.786 Fibonacci retracement level.
If the current decline mirrors the previous downturn, XRP could potentially shed over 50% from its recent price levels. Furthermore, Fibonacci support levels indicate a critical downside target at $1.93, with a deeper decline possibly reaching $1.75, while still remaining within the broader ascending channel.
Several factors reinforce this bearish outlook: weak market sentiment, a lack of bullish catalysts, and escalating U.S.–China trade tensions, all of which continue to exert pressure on risk assets.
XRP Price Analysis
As of the latest update, XRP was trading at $2.32, experiencing a modest 1.5% drop in the last 24 hours. Over the past week, XRP remains in the red, showing a 3% decline.
Currently, XRP is trading below both the 50-day SMA at $2.85 and the 200-day SMA at $2.62, further solidifying the bearish trend. This trend suggests an ongoing downside risk unless XRP manages to recover these levels. Additionally, the 14-day RSI, standing at 30.25, indicates weak buying momentum and increasing selling pressure. However, its close proximity to oversold territory may hint at the potential for a short-term relief rebound.
In summary, while XRP’s recent trading patterns and technical indicators suggest a bearish outlook, investors should remain vigilant and consider these factors before making any decisions. The market’s volatile nature and external geopolitical influences could significantly sway XRP’s trajectory in the coming months.
