Ripple (XRP) price has dropped by up to 3.4% in the last 24 hours, and the crypto market has experienced lower volatility, declining to $0.615960. While XRP has seen a 12% decrease in the past seven days, it has still increased by 31% compared to last month.
Ripple Price Drop Reasons
XRP, which is as strong as these gains, has declined by 27% in recent weeks as Ripple’s decision in the SEC case and in response to Coinbase’s ongoing lawsuit with the securities regulator have turned the market’s initial positivity into a more negative sentiment. With Ripple announcing several new partnerships in the past few weeks, it may continue to be in a strong position to grow rapidly in the coming months and years.
XRP is currently in a poor state in terms of technical indicators, with its 30-day moving average forming a ‘death cross’ with its 200-day average. This could signal the possibility of further losses. Additionally, XRP’s relative strength index has dropped just below 30, indicating a significant loss of momentum and potential selling pressure among investors.
The continuous decline of XRP since the mid-July rally of altcoins further highlights the weakening support level. This suggests that the cryptocurrency may not be able to defend against more losses in the near future, and a drop below the currently reasonable level of $0.60 is possible.
Ripple Technical Data
However, considering that XRP’s RSI has fallen below 30, indicating that it has hit bottom and should soon recover, it is completely debatable. Despite Ripple’s partial victory against the SEC in July, one reason for XRP’s recent decline could be the ongoing legal battles with Coinbase and Binance that have dampened market sensitivity.
In particular, the Coinbase case has created a controversial atmosphere in the market, with CEO Brian Armstrong announcing his desire for the regulator to delist all cryptocurrencies except Bitcoin. Commentators have also noted that Coinbase has so far put forward a weak defense and argued that the exchange should be seen as a digital collection of cryptocurrencies.
