Disclaimer: The information presented does not constitute financial, investment, trading or other types of advice and is the opinion of the author only
- XRP formed a bearish flag on a 3-hour period.
- Alt may continue to face selling pressure in the short term.
waves [XRP] The decline continued at the start of the weekend despite the bulls not showing much interest. Over the past 7 days, the asset has lost 7% of its value. At the time of publication, it was trading at $0.3812, and the underlying fundamentals indicate that further declines are likely.
is reading ripple [XRP] predict the price 2023-24
Sideshow or Fall – Which Road for XRP?
Source: XRP / USDT on TradingView
Is your wallet green? paying off XRP Profit Calculator
XRP entered an extended price correction in the short term after facing a price rejection at $0.4092. The price action over the past two days has formed a bearish pennant pattern. Likewise, OBV (on balance volume) fluctuated as it decreased slightly, indicating that trading volumes were limited over the same period.
Therefore, XRP’s short-term drop may continue, and a retest of $0.3728 is likely. Short position traders can take short selling opportunities at $0.3781 and $0.3766.
But bears should be wary of bullish RSI divergences, which show that the bulls were just around the corner. As such, facing buying pressures could cause XRP to trade sideways within the 38.2%-23.6% Fibonacci retracement level. Such a move would invalidate the bearish bias above.
Ripple demand fluctuated, and sentiment was negative
Source: feeling
According to Santiment, Ripple’s [XRP] Demand fluctuated after falling but later recovered, as evidenced by the financing rate. Notably, the strong demand in the past few hours has declined somewhat at press time.
Additionally, the weighted sentiment for XRP has been negative over the past three days, which supports the bearish outlook for the market. In general, lower demand and underlying bearish tendencies may weaken the market further in the coming hours.
However, there was a slight increase in active addresses per hour, indicating that more accounts were transacting with the token. If the trend continues, XRP trading volumes could increase, which could prompt the bulls to target the 38.2% Fibonacci level. Therefore, caution must be exercised.