- The price of XRP has continued to fall over the past few weeks as traders are liquidated.
- New users lost interest in XRP and overall sentiment towards the token declined.
The broader cryptocurrency sector has witnessed massive declines over the past few weeks. XRP was no exception, with the altcoin losing a significant portion of its valuation during the aforementioned period.
XRP continues to be red.
But this continued price decline is part of a larger trend that started on March 13th. After testing the $0.7440 level, the price of XRP showed multiple lower lows and lower highs, establishing a bearish trend. The biggest drop occurred after XRP tested the $0.601 level, after which the price plummeted 19%.
At press time, XRP was trading at $0.4965. It will take a lot of bullish momentum for the price to reach the $.6009 level.
At the time of writing, the Relative Strength Index (RSI) is 45.97. This indicates that XRP’s buying momentum is relatively weak. Moreover, XRP’s Chaikin Money Flow (CMF) also began to decline. A decrease in CMF is a sign that XRP’s fund flow has substantially decreased.
Source: Trading View
This price drop had a huge impact on traders. For example – in the last 24 hours alone, $2.13 million worth of long positions were liquidated. Bearish sentiment expected by traders also increased to 51.2% during this period.
Source: Coinglass
Additionally, AMBCrypto’s analysis of Santiment data shows that XRP’s network growth has decreased. This means that new addresses are losing interest in XRP. Lack of interest in new addresses could be detrimental to XRP growth in the future. Moreover, the speed around XRP has also dropped.
The decrease in speed is a sign that XRP transaction frequency has decreased significantly over the past few days.
Source: Santiment
street talk
XRP has also seen a decline in popularity on the social front. Social volume around the token has decreased significantly over the past few days. Along with this, weight sentiment towards XRP also declined. Decreasing weighted sentiment means that the number of negative comments about a token starts to outnumber positive comments.
Read Ripple (XRP) Price Prediction for 2024-25
Simply put, increasing skepticism about XRP could be detrimental to its price in the future. The next seven days could be key to seeing where Bitcoin goes, especially after its halving.
Source: Santiment