- Ripple its price has reverted to its usual pattern and completely wiped out its gains.
- With the crude oil price falling below $100, the pressure in the global markets seems to have affected the XRP price as well.
- As the crude oil price drops below $100 is interpreted as a ‘recession’ in the markets, cash outflows can be seen in the crypto money markets.
Koinfinans.com As we mentioned, Ripple (XRP) price looks set to return to its 2022 lows as market sentiment begins to feel the risk of further recession. The oil price has collapsed due to reduced demand and is on the verge of dropping below $100. Adding to the fear of recession, high inflation will now begin to affect households’ disposable income, which could create a grim environment for traders. As a result, a drop in investments in cryptocurrencies may occur.
Ripple Price May Drop 15%
A decline was seen after Tuesday’s aid rally slowed down this morning in the ASIA PAC session. The sudden shift in sentiment came after the oil price slumped and it was in danger of falling below $100 tonight. The increase in stocks could be taken as further evidence that demand is starting to fall and may signal the beginning of an already feared recession during the summer rather than 2023 as previously feared.
XRP price It has already broken below Tuesday’s low near $0.3190. Meanwhile, the $0.3043 key level will work like a magnet, slowing the price action lower. As the dollar has not strengthened as expected, further declines for now seem to be capped at $0.2830, the monthly S1 pivot support held on June 18.
While markets are lagging, EU and ASIA PAC sessions have not lost more than 4% or 5% and are unlike anything seen last week and the week before. This could be a sign that the markets are approaching the point where a recession is already priced in. As a recession is the worst of all scenarios, any other scenario could mean potential upside and see XRP price quickly point towards $0.3710 or even $0.4428. In this scenario, the price could climb 31% by testing the 55-day simple moving average.
You can follow the current price action here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.