XRP Could Drop Towards $0.25 As Price Action Loses Momentum
XRP is preparing to move lower in the days ahead as the asset fails to hold above a critical downtrend formed at the August 2nd highs, according to one trader. Referencing the chart below, which shows XRP’s rejection at the downtrend and the asset’s inability to hold technical supports, the trader wrote:
Chart of XRP's price action over the past eight weeks with a price analysis by trader "Cheds" (@BigCheds on Twitter). Chart from TradingView.com
The cryptocurrency falling to $0.25 from current levels will see it incur a loss of approximately 10%.
This isn’t the only trader expecting XRP to correct further as it fails to retake critical technical levels. Michael Van De Poppe, a cryptocurrency analyst who trades at the Amsterdam Stock Exchange, recently wrote:
Chart of XRP's price action with analysis by cryptocurrency trader and writer Michael Van De Poppe (@CryptoMichNL on Twitter). Chart from TradingView.com
XRP has also formed a “sell 9” candle on its daily chart as per the Tom Demark Sequential. The Tom Demark Sequential is a time-focused indicator that forms “9” and “13” candles when an asset has reached an inflection point in its trend; “buy 9” candles are seen when the indicator predicts bullish continuation and “sell 9” candles are seen when the indicator thinks a trend has found a top.
All Eyes on Bitcoin
At the end of the day, XRP’s price action may be dictated by that of Bitcoin. Altcoins, after all, can be closely correlated to the market leader.
Analysts are actually leaning bullish on Bitcoin as it once again fails to enter a full-blown downtrend due to a last-minute effort from buyers. One trader made the following comment as Bitcoin bounced on Wednesday morning:
How exactly XRP reacts to Bitcoin’s price action, though, remains to be seen.
Featured Image from Shutterstock Price tags: xrpusd, xrpbtc Charts from TradingView.com Why Analysts Expect XRP Drop as the Cryptocurrency Slides Lower
Originally from Bitcoinist.com https://ift.tt/31RFlnG
Leading global blockchain news provider. A blockchain, originally block chain, is a growing list of records, called blocks, that are linked using cryptography.