The XRP price has been in a bearish trend as investors continued to focus on the Ripple vs SEC case and the rising geopolitical tensions. The coin is trading at $0.7245, where it has been in the past few days. Its price has dropped by about 63% from its highest level in 2021. Data compiled by Messari shows that the coin has a market cap of $34 billion.
On-chain data shows that things are not going on well for Ripple. For one, according to Messari, the number of people who own the XRP token is in a bearish trend. It has fallen to the lowest level since January this year. Another data reveals that the number of transactions in the account has reduced substantially in the past few months, even as Ripple’s partnerships have increased.
The price action is probably because of the ongoing SEC vs Ripple case. Analysts expect that the verdict of the case will happen in the next few months. While signs point to a Ripple victory, it is too early to tell what will happen. XRP price has also fallen because of the rising interest rates and the overall sell-off in the cryptocurrency industry.
The daily chart shows that the XRP price has been in a strong bearish trend in the past few months. The coin has moved slightly below the 25-day and 50-day exponential moving averages (EMA). It has formed a descending triangle pattern while the Smart Money Index (SMI) has been in a descending trendline.
Therefore, there is a likelihood that the Ripple price will have a bearish breakout in the coming days. If this happens, the next key support level to watch will be at $0.5500. This view will be invalidated if the price moves above $0.8700.
This post was last modified on Feb 28, 2022, 11:01 GMT 11:01