XRP Price Alert: Brace for a Potential Drop Below $1—Here’s Why
Ripple's XRP faces mounting pressure as market forces align against it. Could the next stop be sub-$1 territory?
Technical indicators flash red. The once-bullish momentum has stalled—trading volume shrinks while resistance levels hold firm. Meanwhile, Bitcoin's dominance sucks liquidity from altcoins like a vacuum cleaner at a hedge fund's cocaine party.
Regulatory ghosts still haunt. Though Ripple scored partial legal wins, the SEC saga remains unresolved. Institutional investors keep one hand on the 'sell' button until clarity emerges.
Macro winds aren't helping. Rising interest rates turn crypto's high-risk appeal into a liability. When Treasury bills yield 5% for doing nothing, speculators think twice about gambling on volatile assets.
Not all doom though—if XRP holds key support at $1.05, bulls might stage a comeback. But with derivatives data showing rising short interest, the path of least resistance points down.
Remember: In crypto, 'soon' could mean tomorrow or next quarter. Either way, strap in—this ride's getting bumpy.
XRP price technical analysis points to a crash
The daily chart shows that XRP has been in a sustained downtrend over the past few months, dropping from $3.40 in January to around $2 today.
The token has now reached the 50% Fibonacci retracement level at $1.8990, representing a 45% decline from this year’s peak. It has also fallen below both the 50-day and 200-day Exponential Moving Averages.
Most notably, XRP has formed a descending triangle pattern, a classic bearish continuation setup. Historically, this pattern often leads to further downside once the lower support level is breached.
The price target for a descending triangle is calculated by measuring the height of the triangle at its widest point and projecting that distance downward from the breakdown level.
In this case, the projected move implies a 43% drop from the triangle’s base, setting a target near $1.08. A drop below that level WOULD increase the probability of XRP falling below the key psychological threshold at $1.
However, a MOVE above the $2.20 resistance level would invalidate the bearish outlook and suggest the potential for further gains.
