The cryptocurrency market finds itself in a slump, with market indicators foreshadowing further declines. More specifically, XRP has seen a decrease of 3.5% in the last day, resulting in a drop to $0.482084, making this a challenging phase for crypto enthusiasts. In the last week alone, XRP is down by 4% and has lost about 23.5% within the last month, mirroring the turbulence prevalent in the cryptocurrency market.
Despite the broader market being weighed down by deferred decisions on Bitcoin ETFs and fears around macroeconomic conditions in traditional sectors, it’s conjectured that XRP could dip further before making its comeback. The opportunity to buy the altcoin at a discount is hard to ignore due its strong fundamentals.
However, current market indicators for XRP exhibit notable weakness. Its relative strength index, for instance, hovers close to 30, a signal indicating an oversold market, while its 30-day moving average is on the verge of falling below its 200-day average. This ‘death cross’ could potentially foretell impending losses.
These vulnerabilities are arguably a consequence of larger market conditions, heightened by recent developments – in particular, the SEC’s postponement of its decisions on all Bitcoin ETF applications until October. Additional scrutiny from the SEC, through its legal actions against Coinbase and Binance , compounded by an international economy teetering on the edge due to concerns around the Chinese economy, has only increased the strain felt by XRP and the wider cryptocurrency sphere.
Despite the volatility, XRP remains a feasible investment option in the eyes of many, particularly given current discounts. Indications point towards a recovery in the near future, the altcoin displaying strength to return to $0.60 within a few weeks, and potentially $0.70 by the end of the year.
Simultaneously, some traders might be swayed by alternative investment avenues such as newer tokens displaying potential for substantial gains in the short term. An exemplar in this context is the Wall Street Memes (WSM) presale coin, which has shown promise with its association with the meme stocks movement driving its success, having already accrued over $25 million. These newer tokens often rally significantly after their debut on trading platforms, providing them an edge over established tokens. Their appeal lies with their large communities backing them to provide boosts in the near or long term.
However, it is worth noting that indeed crypto remains a high-risk asset class, and while this article is for informational purposes, it doesn’t constitute investment advice. Potential investors are always advised to exercise due diligence, as this high-risk market could lead to loss of capital.
Source: Cryptonews
