Three reasons for March XRP to fall to $ 1.60 in March

The XRP (XRP) daily chart closed the lowest candle in 99 days on March 10. Altcoin fell below $ 2 support, but registered short -term recovery on March 11th.

In the HTF (High Time Frame) chart, the XRP suggests that the psychological level should be maintained at $ 2, but the other indicators can be a deeper drawdown.

In the XRP market, the buyer is lacking as the gift is weak.

The XRP price has fallen 37.1% from a record maximum of $ 3.40. On February 3, if the price dropped to a similar percentage, the spot market bid quickly absorbed the sales pressure and pushed the XRP to more than $ 2.50.

However, the position and permanent market of XRP have been relatively weak over last week. According to AGGR.TRADE’s data, XRP’s cumulative volume delta (CVD) has been reduced by 50% in March.

Negative CVDs mean that they have more sales than purchases. The current CVD value is $ 48 billion, which signals the demand for the seller.

Similarly, futures merchants are also weakened as permanent CVDs decreased to -11 billion on March 11. XRP’s public interest and weighting financing ratio has also changed significantly, indicating that shorter positions have been added over the last few days.

XRP whales continue to sell SPREE

XRP’s volume bubble map has surged until the end of February. Ki-Young Ju, founder of Cryptoquant, observed that this rise is consistent with the continuous distribution stage of XRP.

Distribution refers to a period of market cycle when a large -scale investor slowly offs his position and gains profits.

Related: Why is the XRP price drop today?

According to the current data, the distribution stage has been strengthened over the last seven days. Specifically, whale spills measured by the 30 -day moving average have steadily increased.

This increase suggests that large -scale holders continue to offer the XRP position to further promote the distribution trend.

Between March 4 and March 10, this large XRP holder has been in charge of about $ 888 million. This important selling reflects the continuous weakness of XRP.

XRP Price H & S Pattern is a hint of $ 1.60 Restest

On March 11, XRP’s 1 -day chart ended at less than $ 2.05, an important neckline of head and shoulder patterns every day. This pattern has potentially strong weak results when observed on a high time frame (HTF) chart.

As shown in the chart above, if the XRP does not support $ 2.05 with support, the price may be low.

The immediate target area of ​​the XRP price is maintained by 0.5 to 0.618 Fibonacci and the interference line. The reinvestment range also called “Golden Zone” is between $ 1.90 and $ 1.60. It is likely to be re -examined 0.618 fibonacci or $ 1.60 in the current weakness environment.

If you do not maintain this range, long -term demand zones can be reorganized from $ 1.58 to $ 1.27.

This article does not include investment advice or recommendation. All investment and trading measures include risks, and the reader must do his own research when making a decision.