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The XRP seemed to be renewed optimism and was running towards new heights. However, the momentum of several sessions brutally broke. The price is retreating and the volumes collapsed. On the crypto market under voltage, this sudden turning point challenges the doubts of the fortress of the bull movement and question the rest of the cycle. Should we see a simple technical break or the beginnings of a deeper withdrawal?
In short
- XRP undergoes brutal correction after reaching the peak to $ 2.65.
- In just 24 hours, trading volumes dropped by more than 40 %and dropped to $ 3.23 billion.
- Several technical indicators indicate the dynamics of dynamics, with RSI indicating the stagnation phase.
- The XRP network is still growing, with approximately 3,500 new portfolios created every day despite the market correction.
XRP wins: free fall and pressure bundles
XRP has just seen a significant degradation of its liquidity indicators. According to CoinMarketcap data, XRP trading volumes in 24 hours have risen by more than 40 % and reached $ 3.23 billion.
This sudden contraction of liquidity occurs, while XRP records its fourth consecutive day of a decline that began after a local summit for $ 2.65 14.
Currently, crypto is exchanged for $ 2.36, a decrease of 3.43 % during the day. This premature completion of the study occurs in a backward climate on the market crypto influenced by global economic uncertainties.
The global market fell to $ 3.27, which has deleted recent profits after reaching the weekly summit.
Several key elements illustrate the loss of dynamics on XRP:
- Price in constant download from 14 May, from 2.65 to $ 2.36;
- Reduced exchange volume by 40 % per 24 hours, ie $ 3.23 billion;
- Drop in price for $ 2.31 recorded on Saturday morning;
- RSI Index slightly above 50, which signals the stagnation phase between $ 2 and $ 2.65;
- Negative macroeconomic context that affects the entire crypto market.
This sequence down is questioned by the fortress of the recent Haussier rally. So it seems that a repeated rejection of $ 2.65 twice (12 and 14 May) has strengthened short -term sales positions. It seems that the market is now entering the observation phase in search of new directional signals.
Growing speculative lever and permanent adoption
If the volumes of the spot and the price bend, some indicators show a very different face from the current situation. Interests are opened on the XRP term contracts in fact 41.6 % per week, from 2.42 billion to $ 3.42 billion.
This lever increase suggests a significant increase in speculative activity, although the price lost in the traction. Such outbreaks of the lever coincide with the recent rally of the curvature of the crypto price that signals the reinforced direction beliefs between traders.
This is a strong signal. Despite the decline in the place, actors in the long run occupy position, potentially await reflection or bull.
The creation of new XRP portfolios also remains particularly dynamic, generated by about 3,500 addresses on average. This trend suggests that adoption and interest in XRP are not out of breath, even at full correction of the market.
However, it is too early to find out whether the creations of these addresses come from private investors trying to accumulate bankrupt or opportunistic actors surf the volatility of the market crypto.
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A graduate of the Toulouse and the Blockchain Consultant Certification certification holder and I joined the adventure of Cointribuna in 2019. I convinced of the potential of blockchain to transform many economy sectors, committing to raising awareness and informing the general public about how the ecosysty developed. My goal is to allow everyone to better understand blockchain and take the opportunity they offer. I try to provide an objective analysis of messages every day, decrypt trends on the market, hand over the latest technological innovations and introduce the economic and social issues of this revolution.
Renunciation
The words and opinions expressed in this article are involved only by their author and should not be considered investment counseling. Do your own research before any investment decision.