Throughout this year, several digital assets have failed to live up to expectations. Indeed, the industry has seen various cryptocurrencies perform below predictions almost one month into 2024. One of the hardest-hit assets is Ripple (XRP), but could its continued descent below $0.50 finally trigger a turnaround?
Many have expected the asset to reach a bottom, and return upward at some point shortly. It has recently broken below the crucial $0.55 level. Currently, the asset is trading at $0.50 and down more than 1% over the last 24 hours according to CoinMarketCap. Yet, further losses leave some optimism that buying could commence, and an upward reversal could be in store.
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Ripple Nearing $0.49, as a Turnaround May Be On The Horizon
Towards the end of 2023, the digital asset industry had high hopes for what the new year would bring. As the arrival of Spot Bitcoin ETFs was just on the horizon, many expected a rising tide to lift all boats. However, less than a month into the new year the opposite has been true. To this point, 2024 has only been defined by its volatility.
One of the most disappointing assets of the year has been Ripple (XRP), which could fall below the $0.50 mark but could have a turnaround in the future. Specifically, the cryptocurrency has fallen inside a corrective pattern over the last 80 days. Moreover, some suspect a fall below $0.55 could be the trigger for a notable increase in value.
XRP has notably fallen under a descending trend line since July of last year, as seen in TradingView charts. Moreover, that trend line led to a host of rejections, with the accelerated decline taking place while it broke from horizontal support. Ultimately, the drop has led it to maintain its position at the $0.50 level.
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To make things even more concerning, the daily Relative Streng Index (RSI) is reading below 50. Subsequently, the asset is noting a bears still have the upper hand. Additionally, the readings suggest Ripple is nearing the oversold range of the readings.
Alternatively, XRP Whale presumes that these developments have led to a Bullish Gartley pattern forming on its chart. Subsequently, the crypto analyst has stated that “this is where we pump” regarding the price.
Ultimately, a continued decline is bad news in the short term but could have positive implications on the asset overall. Especially if investors begin to focus on accumulating XRP amid a rather low price and positive outlooks for the rest of the year.