XRP Facing 31% Plunge in the Short Term After Suffering Critical Breakdown, Says Analyst
A crypto analyst is issuing a warning about a potential drop in the price of the third-largest crypto asset, XRP.
The analyst, known in the industry as Magic, tells his 68,853 followers on TradingView that he’s now bearish on XRP after it failed to hold support at $0.30.
He thinks XRP is likely to plunge from its current price of $0.22 to $0.15 – a 31% drop.
“XRP (along with the vast majority of crypto assets) looks immensely dangerous right now. I’ve published several analyses talking about this big blue uptrend channel that XRP was in. When XRP was approaching the bottom of it, I suspected that there was a decent chance for a significant rally if it held support.
Unfortunately, price never held the bottom of the channel as support. Instead, we’ve seen a breakdown below the blue uptrend channel, and to make matters worse, price rallied back up to it, tested it, and rolled over to the downside.”
The analyst says XRP’s relative strength index is now the key. Although it was severely overbought in early 2018, Magic says it has yet to reach oversold territory, where it’s “actually a good time to be a buyer.”
Fellow analyst Credible Crypto is optimistic in the long run, and says the rough period for XRP will likely shake out weak traders.
Credible Crypto highlights XRP’s past price action and says it’s typically lagged behind the rest of the crypto market, telling 49,800 followers on Twitter that impatient traders may lose out.
“Those getting impatient about XRP price are missing the big picture entirely and will miss out on the gains that are sure to come.
XRP only started running nearly 2 years after the BTC bear market low was put in in 14-15 and that too, only after BTC broke prior ATH.