Ripple (XRP) surprised the crypto community with its price performance a few days ago, as no one expected a 70% rally from the popular altcoin. However, the lack of momentum in the market led to a huge rebound that most buyers did not expect.
XRP Loses Half of Its Earned Value
XRP has dropped more than 20% in the last 48 hours, that’s about half of its growth over the past 30 days. Despite the increase in trading volume, traders and investors were not injecting significant funds. Therefore, there was no upward moving fundamental support below the asset.
Koinfinans.com As we reported, due to the lack of volume at the local resistance level, XRP was able to easily break the 50 and 200-day moving averages, bolstered by Ripple’s success in court against the SEC. The volume profile in XRP continues to decline as traders do not believe the rally will continue, especially without the positive news from the courtroom. All indications are that the rally we saw earlier was purely speculative.
What’s Next for Altcoin?
Unfortunately, it’s hard to predict how the case will evolve in the next few days or even weeks. However, the technical data shows that XRP will continue to pull back as it fell below the 200-day moving average and is now heading towards the 50-day moving average at the $0.38 price level.
However, an upward move may still be possible if investors see some progress in court and purchasing power returning to the market.
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.