XRP price has lagged behind in the ongoing cryptocurrency market rally and has not been able to reach its peak value set in January 2018. Despite the prevailing upward sentiment in the crypto market, XRP’s price return in 2024 was only 1.85%. For example, Bitcoin and Ethereum gained 58% and 68.50% in value during the same period. Perhaps more surprisingly, the XRP/BTC pair has lost 88% of its value in the last five years.
What’s Happening on the Ripple Front?
Perhaps even more surprising is the fact that the XRP/BTC pair has lost 88% of its value in the last five years due to investors shifting their focus to the increase in investments in newly launched Bitcoin ETF funds, the Bitcoin halving event, and speculation about the approval of Ethereum spot ETF funds by May.
Technically, as shown below, the XRP price has faced extreme selling pressure at the multi-year descending trend line resistance since December 2017. Investors did not manage to achieve a decisive close above this trend line in 2024.
The decline in XRP price in 2024 also coincides with a decrease in the number of whales. In particular, the number of the richest addresses holding at least 100,000 XRP has significantly decreased this year, indicating a decline in investor interest in XRP.
Meanwhile, crypto-friendly lawyer Bill Morgan, who is following the case, has stated that the ongoing legal dispute between the U.S. Securities and Exchange Commission (SEC) and Ripple contributes to the uncertainty. Following Judge Analisa Torres of the U.S. District Court extending the deadline for the regulator’s last application earlier this month, the SEC vs. Ripple case is likely to continue until May 2024.
XRP Chart Analysis
According to the bullish scenario, the XRP price aims to reach $0.75 by June 2024, which would be a 15% increase. This level is close to the descending trend line resistance of the XRP/USD pair and the 0.236 Fibonacci retracement line.
Moreover, a decisive break above the combination of the descending trend line and the 0.236 Fib retracement resistance could lift the price to $1.11. Interestingly, such a scenario could repeat the 2014-2017 fractal shared by market analyst Coosh Alemzadeh.
If history repeats itself, Alemzadeh expects the XRP price to break new records above $3.55 in the coming months. Conversely, a potential pullback from the descending trend line resistance could position XRP for a 20% drop to $0.50 from current price levels. This level is very important as a rising trend line support level.
