XRP Plunges to 6-Week Low as Fading Whale Activity Spells Further Trouble Ahead
XRP drops to a six-week low of $1.33 as whale activity declines significantly.
CryptoPotato1 min read
XRP Completes Golden Cross on Four-Hour Chart, But the Price Presents a Twist
TL;DR
XRP has completed a golden cross on the four-hour chart, indicating potential bullish momentum. However, the price has declined by 3.22% to $1.33, failing to align with the bullish signal.
Key points
- XRP completed a golden cross on the four-hour chart
- The price declined by 3.22% to $1.33
- Resistance at $1.40 continues to cap gains
XRP, one of the leading altcoins on the cryptocurrency market, has completed a golden cross on the four-hour chart. The technical signal suggests the potential for an upside in the price outlook of the coin on the broader market.
XRP's $1.40 resistance continues to cap gains
Notably, a golden cross forms when a short-term moving average moves above a longer one. In this case, the 50 MA crossed above the 200 MA on the four-hour chart, signaling a potential bullish setup.
Traders and market participants consider its occurrence as a positive price uptick signal. XRP’s golden cross on the four-hour chart has come with a twist, as the asset’s performance has not aligned with this indicator.
As per CoinMarketCap data, in the last 24 hours, XRP has declined by 3.22% to exchange hands at $1.33. The coin, which previously traded at a daily peak of $1.39, suddenly dipped in price amid broader market volatility.
Trading volume has also dropped significantly by 14.46% to $2.51 billion. XRP, which sparked investors’ interest as it pushed for a higher price, faced rejection at $1.40 and triggered high-volume selling. Constant rejection at this level has elevated volume as sellers exit their positions.
It is worth highlighting that XRP’s price dip is not in isolation as the broader crypto market fell by 0.84%. The leading cryptocurrency, Bitcoin, also suffered a dip and had a cascading effect on other assets in the space.
Market observers are now tracking XRP’s movement to see if it can hold at the $1.33 support level. If the coin successfully defends this price, XRP could retest the $1.35-$1.49 zone. If there is enough momentum and volume, it might finally breach the $1.40 resistance.
However, if the coin breaches the $1.33 support, it could trigger a downward slide to $1.28. A lot depends on how market participants engage the coin.
Institutional demand remains strong for XRP
Despite the price volatility, institutional investors are still betting on XRP. Last week, XRP raked in 53%of the total $224 million in crypto funds flow. Data from CoinShares reveal that XRP flipped Bitcoin and Solana to achieve this feat.
Meanwhile, in Asia — and in South Korea specifically — XRP was preferred to Bitcoin by market participants. , Upbit, in its rankings, showed that XRP outperformed Bitcoin to emerge as the most traded asset by volume.
Q&A
What does a golden cross mean for XRP's price?
A golden cross indicates a potential bullish trend, as the short-term moving average crosses above the long-term moving average.
Why did XRP's price drop despite the golden cross signal?
XRP's price dropped by 3.22% to $1.33 due to broader market volatility, despite the bullish signal from the golden cross.
What is the current resistance level for XRP?
XRP is facing resistance at $1.40, which has capped its gains despite the recent bullish indicators.
