Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
The markets were dominated by sellers and fear was rising across the crypto sphere after the collapse of Silicon Valley Bank. But, there were signs of an accumulation from the Bitcoin whales- could this see a reversal materialize later this month?
It was unclear at press time. XRP exhibited a firm bearish bias, which can only be shifted if the asset can climb above $0.41 on the price charts.
Read XRP’s Price Prediction 2023-24
Liquidation data from Coinglass revealed that the 24 hours preceding the time of writing saw $612k worth of positions liquidated, with a majority of them being long positions. The lowered volume of the weekend meant this figure could climb much higher on Monday.
Source: XRP/USDT on TradingView
Since November, XRP has traded within a range (yellow) that extended from $0.33 to $0.415. The mid-range mark sat at $0.374 and has acted as solid support and resistance since November. In the past few days, XRP saw a lot of volatility around this mark.
The sentiment has been firmly bearish in the market since late February on higher timeframes such as daily. For XRP, the situation has looked bearish since 9 February, when the market structure broke beneath a recent higher low.
The 21 and 55-period moving averages also showed downward momentum as they formed a bearish crossover a few days ago.
For close to a month now, XRP has traded within the $0.363 and $0.404 levels, and at the time of writing, it looked likely to head lower toward the $0.33 mark.
However, short sellers must be cautious. Volatility was likely, and traders can wait for Monday’s high and low before establishing a course of action for the coming week.
How much are 1, 10, and 100 XRP worth today?
The Awesome Oscillator noted steady bearish momentum since mid-February and continued to move beneath the zero line over the past few days.
On the other hand, the CMF showed significant capital flow into the market. Given the bearish structure on the daily and H4 timeframes, a recovery for XRP was unlikely.
A buying opportunity might arise at the $0.33 mark, but buyers must wait for a BTC bullish reversal and signs of demand for XRP before looking to buy.
The 30-day MVRV ratio slipped into negative territory in early February and has not yet recovered. The weighted sentiment also showed steady negative sentiment, interspersed with sparks of hope.
More worryingly for the bulls, the 90-day dormant circulation saw a huge spike on 1 March. It came at a time when XRP was already trending downward. In the past few days, there were no surges on this metric, but that does not indicate selling pressure has eased up.