Popular crypto analyst Ali Martiez issued a bearish warning for XRP Coin. The analyst predicts that the altcoin price will lose serious altitude. Meanwhile, analyst Valdrin Tahiri expects a breakout in the ADA price.
XRP Coin price prediction: Is $0.34 on the cards for the altcoin?
The altcoin remains under pressure due to whales and Ripple’s monthly sell-off. Moreover, court developments regarding the SEC and Ripple case directly affect the token and investors’ confidence. Meanwhile, crypto analyst Ali Martinez warns of a possible sell-off scenario for XRP Coin. Martinez shared a technical analysis showing that a multi-year trend is under threat of breaking. In this context, the analyst said:
XRP is currently trying to hold on to the critical support level of $0.55. If this support fails to hold, be prepared for a possible sell scenario that could see XRP drop towards $0.34!
XRP Coin price analysis and possible bear breakout
Notably, the parallel channel detected by Ali Martinez dates from 2022. XRP has followed this range so far. XRP rose to $0.92 in July 2023. Meanwhile, it reached its lowest price within the channel between December 2022 and January 2023, at approximately $0.33. At the time of writing, XRP Coin is struggling at $0.55 testing the trend support line. According to the analyst, breaking out of this range would put the token in danger of revisiting multi-year lows.
However, traders should be aware of possible false breakouts. This can lead to short positions being opened and then liquidated by a ‘short squeeze’. Despite this, this is an important moment for XRP Coin. After more than a year of bull run, it is likely to decline. Therefore, XRP Coin holders want to see a rapid bounce in these prices in the next few days.
ADA price forecast: Will there be further downside?
Technical analysis of the daily time frame shows that Cardano (ADA) has been trading within an ascending parallel channel since June 2023. After several unsuccessful breakout attempts, ADA price finally cleared the resistance trend line of the channel in December and subsequently increased parabolically. This breakout reached a new yearly high of $0.68 on December 14. Since then, ADA has dropped significantly. Thus, it formed two long upper wicks (red symbols), which are considered a sign of selling pressure. Meanwhile, the RSI is below 50 and falling (red circle). Therefore, both are signs of a bearish trend.
Similar to the daily time frame, the six-hour time frame does not provide a clear direction for the trend. This is due to price action and RSI data. Price action shows that ADA has been trading within a descending parallel channel since December 14. Such channels often contain corrective actions. On January 8 (green icon), ADA bounced at the support trend line of the channel, confirming the 0.5 Fib retracement support level at $0.46. However, he failed to exit the channel. Rather, it was rejected (red icon) on January 11 and has fallen since then. It is currently trading below the middle line of the channel. Moreover, the six-hour RSI is below 50. As a result, the resolution of the channel formation will determine the future trend for ADA.
A breakout could lead to a 30% rally towards the 2023 high of $0.70. Conversely, it is possible that a breakout from the channel could trigger a 25% decline to the nearest support at $0.37.
The opinions and predictions in the article belong to the analysts and are definitely not investment advice. cryptokoin.com We strongly recommend that you do your own research before investing.
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