As traders navigate an uncertain global financial landscape, Ripple’s XRP token isn’t immune to the shockwaves reverberating through the crypto markets. The price of XRP has notably slipped below the critical support level of $0.45, causing a stir among traders and investors. This significant drop can largely be attributed to the current bearish sentiment surrounding potential interest rate hikes and the looming US debt ceiling crisis, which have started affecting the altcoin market significantly, and thus, the XRP price.
XRP Outshines But Fails To Hold Momentum
In an unexpected twist, XRP, Ripple’s native digital coin, has ascended past Bitcoin (BTC) to become the most traded asset on South Korea’s largest cryptocurrency exchanges, Upbit and Bithumb, in terms of trading volume.
Remarkably, for two days running, XRP, currently ranked as the sixth-largest cryptocurrency by market capitalization, has managed to steal the limelight from Bitcoin in trading volume. This event signifies the burgeoning popularity of XRP amongst Korean investors, potentially indicating a shift in the overall crypto market dynamics.
As it stands, XRP holds the top spot as the cryptocurrency with the highest daily trading volume. It chalked up approximately $208 million on Upbit and $50 million on Bithumb in daily trading volume. In contrast, Bitcoin saw a trading volume of $96 million on Upbit and $27 million on Bithumb over the past 24 hours.
XRP’s ascent to prominence can be credited to multiple variables. Central to this has been Ripple’s tactful collaborations with prominent Korean financial entities, including GME, South Korea’s preeminent remittance service firm, and leading exchanges.
Furthermore, the anticipation of the SEC failing to uphold pivotal arguments has further buoyed this optimism. If this expectation materializes, it could potentially catalyze a surge in XRP’s price, propelling it to unprecedented levels.
XRP Steeply Declines From $0.45
This week started off on a promising note for XRP, with the digital asset trading comfortably above $0.45. However, bearish sentiment trapped bulls, plunging the price below 23.6% Fib level. As of writing, XRP price trades at $0.4491, declining over 2.5% in the last 24 hours.
The market bulls have struggled to push XRP past the prevailing downtrend line, and initiated a steep decline near the EMA-50 trend line at $0.45. This signifies a shift towards a bearish sentiment, with market tops being seized as selling opportunities.
The 20-day EMA is slowly beginning to trend downwards, and the Relative Strength Index (RSI) is situated within the negative zone. This suggests that the easiest route is likely downward. If buyers manage to push the price from $0.43 and send it above the 50-day EMA of $0.45, XRP’s value could gain momentum, potentially soaring as high as $0.47.
However, if the price slides below $0.44, it may begin a downturn that could pave the way for a drop towards the crucial support zone near $0.4.
