Key Insights:
- XRP price traded in the negative territory but maintained its brief support at $2.65.
- Analyst warns of a likely Ripple coin correction, citing technical trends.
- XRP whales have offloaded 140 million coins in recent days.
XRP price stayed near the flatline today, as the investors have treaded cautiously ahead of the major FOMC interest-rate cut decision today. However, a comment from a top expert has fueled concerns among traders, hinting at a potential pullback in the Ripple coin.
An analyst has highlighted a technical signal for the crypto, which has previously predicted accurate trends for XRP. Now, the signal has reappeared, hinting at a potential pullback in the crypto’s value in the near future.
In addition, the whales are also booking profits amid the highly volatile scenario in the broader crypto market. Considering that, it seems that XRP price could face a major setback if the Ripple whales’ selling pressure continues.
XRP Price Near Flatline: Can it Recover?
XRP price was down nearly 0.5% at the time of writing, but maintained its brief support at $2.65. Its trading volume over the last 24 hours rose more than 10% to $5.3 billion, suggesting rising trading activity in the market.
However, despite holding the $2.65 mark, analysts seem cautious about the potential future movements of the coin. Besides, the experts have previously suggested that the Ripple coin must break through the $2.75 mark to continue its bullish trajectory ahead.
The derivatives data indicate a muted sentiment in the market. According to CoinGlass data, the XRP Futures Open Interest (OI) fell marginally to $4.60 billion, with Binance showing the highest decline of 2%.
Meanwhile, some are still optimistic over a potential recovery in the asset’s value. For context, the US Federal Reserve is expected to announce a 25 bps rate cut at today’s meeting, which could boost the appeal of the risk-bet assets like crypto.
On the other hand, if Fed Chair Jerome Powell delivers a hawkish speech, it could weigh on the broader market sentiment. Amid this, a top expert has fueled concerns, highlighting a potential pullback ahead in XRP price.
Analyst Warns of Ripple Coin Crash
As XRP price continues to struggle to break the key resistance at $2.75, analysts have come up with more bad news for traders. In a recent X post, analyst Ali Martinez has highlighted the TD Sequential signal for Ripple coin.
He noted that this signal has been “remarkably accurate at spotting XRP trend reversals over the past three months.” Having said that, he noted that it now flashes a “sell signal” for the asset, hinting at a looming crash for the asset.
He noted that on July 22, the same signal resulted in a 24% crash in the asset’s price. The next month, the signal had wiped off 17% from its value, while in September, it caused a dip of around 15%.
Having said that, it appears that the crypto might face another correction in the near future, unless any positive catalyst reverses the market sentiment.
Meanwhile, another major concern in the Ripple market is the whales’ profit-booking, which might have halted the much-anticipated rally in it. In a separate post, Martinez said that the XRP price has recovered from its major crash earlier this month, which led to a dip to $1.5.
However, it has added around 13% over the past few days, which has allowed the large investors to book profits. He noted that the XRP whales have offloaded 140 million tokens recently, while the crypto was trying to make a comeback.