XRP price recovered slightly over the weekend and continues to maintain its bullish momentum. However, experts don't seem to believe that the altcoin will continue its bullish trend, with one cryptocurrency analyst predicting that XRP price is headed for a major crash.
XRP price on the verge of crashing 80%
A cryptocurrency analyst who goes by the name Without Worries on the TradingView website reported on worrying trends in the XRP price. The analysis focuses on the altcoin's performance over the past two years and suggests that the price is more likely to crash from here than to continue to rise.
According to cryptocurrency analysts, the price of XRP has been trading within an ascending trend channel for the past two years. This channel has mostly held up, allowing the cryptocurrency to maintain its bullish trend. However, analysts explain that support in this ascending trend channel has now failed, and confirmation has been completed, indicating a reversal in the price of the altcoin.
Moreover, the crypto analyst points out that this failure of channel support occurred after the coin hit price highs after breaking market structure in April 2022. Given this, he expects the price to reverse from here and crash to levels not seen since 2020.
According to analysts, the target for this crash is $0.1. If this were to happen, it would mean a crash of over 80% from the token’s current value, which is around $0.5 at the time of writing.
Will the upward trend continue from here?
As with other analyses, the crypto analyst explains that there are scenarios in which the XRP price will continue its current upward trend. In such a case, the price should continue trading within the channel and hold support at this level.
However, he explains that the price movement has already broken out of the channel. Now, the key to hold is the $0.3 level. As long as this is held, the uptrend will continue. “If that support is not confirmed, the next stop is the 10 cents,” the analyst explains.
Analysts believe that the price may enter the channel and continue its uptrend, but point out that this is unlikely given that we have already seen the price fail to hold support.
Nevertheless, at the time of writing, XRP’s price is still above $0.52, despite a 1.33% drop over the past day, but a modest increase of 2.82% was seen over the last week, leaving it the seventh-largest cryptocurrency in the space with a market capitalization of $29.3 billion.
Featured image created by Dall.E, chart taken from Tradingview.com
