Since achieving new highs of just around $65k in April this year, BTC Price has plunged to critical levels with the recent collapse to below $30k. Most altcoins have also experienced extreme volatility. The bearishness that shook the Bitcoin market as Chinese authorities tightened their rules on mining and crypto payments can be linked to the drop in altcoins.
Talking about altcoins the XRP Price has fallen almost 70% from its April peak, and it, like most altcoins, lacks direction. The altcoin has dropped in recent days, with the worst two-day drop ever.
A Massive Sell-Off for Ripple!
Several on-chain data point to a bright future for XRP as it is preparing to breach a major resistance level.
From June 19 to June 22, active addresses increased from 9,355 to 17,743. In addition, the 365-day MVRV is -13.54 percent, implying that short-term traders are selling, allowing long-term investors to accumulate.
On the other hand, between June 20 and June 22, the number of transactions for $100,000 or more increased from 722 to 1,615 deals. Whales may be attempting to move their funds or book profits, based on the 123 percent increase.
Also As white dots formed above the candlesticks, the parabolic SAR indicated that a decline had begun. At the time of writing, the Average Directional Index (ADX) stood at 55, indicating that the indicator was still strongly directional. We should expect the active downturn to lessen as the ADX begins to descend towards the neutral 25.0 line.
XRP Price Ready To Bounce
XRP was down 4.64 percent to $0.6023 at the time of writing. The coin rose to an early morning high of $0.6323 before sliding to a low of $0.5094, indicating a mixed start to the day. Early on, It failed to test the primary support and resistance levels.
To reach the first significant resistance level at $0.75, Ripple’s XRP will have to break past the $0.67 pivot. On the other hand, it would need market support to break back through to $0.70 levels. Furthermore it might test resistance at $0.80 in the event of a broad-based crypto rebound. $0.8362 is the second big resistance level. If the $0.50 pivot is not broken, the first significant support level at $0.42 will be tested.
Thus, It should be interesting to keep an eye on the immediate support level at $0.67 to see if buyers are able to take the price past this point. If buying interest builds up, we may be able to see XRP test the pivot point at $0.80 as well.
Traders should be aware of the selling pressure when XRP is still 80 percent below its all-time high before taking profits. On the other hand, this might be the start of a long process of building an investable low for the altcoins for the new bull market.