XRP price has been under intense pressure for the past few weeks as contagion fears in the crypto market intensify. The digital asset has slipped by more than 15% in the past month and more than 60% since the year started. XRP has shed 3% in the past week. Its total market cap has crashed by more than 2% in the last day while the volume of XRP traded has dropped by 5%.
XRP Price Outlook
XRP price has been consolidating for the past few days amid concerns about the overall crypto market. The altcoin has been among the poor performers in the crypto market among many others including Solana, Stellar, Bitcoin Cash, and many more. XRP is ranked the 7th most valued digital asset in the world after Binance USD.
XRP price has been stubbornly trading below the crucial support level at $0.400 hinting lack of volatility. Earlier this week, Coinbase, the world’s second-largest crypto exchange, announced that it would halt support for Ripple and a few other cryptocurrencies.
In its announcement, Coinbase said that its decision came from the lack of demand and low usage of these cryptocurrencies. The firm plans to also terminate Bitcoin Cash, Ethereum Classic, and Stellar. According to Coinbase, as of January 2023, the altcoins will be terminated on the platform.
The slump in XRP’s demand has been linked to Ripple’s lawsuit. The cryptocurrency has been embroiled in a lawsuit with the Securities Exchange Commission (SEC) for the past year. Ripple blames the SEC for the collapse of FTX. In a tweet, Ripple’s General Counsel, Stuart Alderoty stated that BlockFi’s filing for Chapter 11 bankruptcy protection was the SEC’s doing.
XRP Price Analysis
The daily chart shows that the XRP Price has been under intense pressure for the past few weeks. At the time of writing, the altcoin was trading 1.69% lower at $0.3902. it hit an intraday high of $0.3975 before pulling back. It is trading slightly above the 25-day moving average and below the 50-day moving average. Its Relative Strength Index is 46.
Therefore, the XRP price is likely to continue its bearish run in the near term as traders eye the support level at $0.3225. However, a flip above the important level at $0.400 will invalidate my bearish analysis.