XRP reverses its trajectory slashing ~8% as the market sheds billions

XRP and the rest of the cryptocurrency market took a major tumble falling below crucial support levels. The entire cumulative market cap lost a hundred billion dollars. XRP was in the deep red zone as its weekly losses amplified to 6.58% due to the biggest market correction of Q3 2021.

The crypto market valuation dumped to a daily low of $1.38 trillion.

XRP has been one of the strongest performers lately. However, over the past 24-hours, it depreciated by 7.52% and was currently priced at $0.621. At the time of writing, the crypto-asset registered a market cap of $28,70 billion and a 24-hour trading volume of $2.31 billion.

XRP Daily Price Chart:

XRP’s recovery failed to decisively overcome the nearest resistance level as the bears stepped up. In a matter of hours, selling intensified the downward pressure and the digital asset took reversal. The candles declined further from the moving averages that hovered above them.

The 50 DMA [Pink] sustained a bearish crossover with the 100 DMA [Blue] in the third week of June following which the token tested a key support area. According to the above chart, a death cross appears to be inevitable, which could signal a massive retreat in the near term.

The low volume could further catalyze the downtrend in the coin market.

The dotted markers of the Parabolic SAR settled below XRP price candles despite the tumble. However, the Klinger Oscillator [KO] appeared to be at the cusp of a bearish crossover as the coin shed all of its weekly gains. The Relative Strength Index [RSI], on the other hand, turned down from the 50-median line and was moving towards the oversold conditions.

The above charts depicted a bearish phase for the coin that might not stop anytime soon. Hence, the crypto-asset could potentially revisit the $0.544 support area which if breached could propel a drop to $0.40, and $0.24 subsequently.

Contrarily, the resistance levels for XRP were found to be at $0.73, $ 0.81, and $1.06 respectively

Chayanika Deka: Chayanika is a full-time journalist at TronWeekly with over two years of experience. A graduate in Political Science and Journalism, she focuses on the political and financial impact of cryptocurrency and blockchain developments.