Could XRP Drop to $0.10? Expert Weighs in with Surprising Insights

Egrag has noted that while XRP dropping to the $0.10 level is possible, the probabilities of such an event happening are rather low.

XRP is caught in the ongoing bloodbath, as the bears recently pushed it below the $0.45 territory for the first time in almost a month. Despite a modest recovery, an analysis had forecasted a drop to $0.10. Egrag, a notable crypto analyst, weighs in on the possibility.

Taking to Twitter to share his insights, Egrag suggested that the idea, which came from a friend of his, is actually debatable. According to Egrag, XRP has so far continued to follow his pre-set technical indicators and analytical tools such as his proposed Fibonacci targets.

#XRP To 0.10c🤨🤔🧐:

The Idea Is Debatable:

Recently, a close friend posted that #XRP will go back to 0.10c. This friend I respect & I do take his TA into consideration. However, last #Bullrun he had major wrong calls & got REKTED big time.

I want to explore his idea that… pic.twitter.com/UAGtes1QAn

— EGRAG CRYPTO (@egragcrypto) April 23, 2023

However, the analyst noted that the idea of XRP’s price plummeting to $0.10 is not supported by any specific key technical indicators or Fibonacci targets. Instead, the idea seems to be based solely on personal opinion or speculation that a retest of this price range may be necessary or likely.

Egrag emphasized that while there is a possibility of XRP dropping to $0.10, the likelihood of this occurring is very low. However, a significant regulatory crackdown could potentially lead to such a drop.

He argued that cryptocurrencies may have become somewhat immune to “normal” economic Black Swan events, but they are not entirely invulnerable to significant price drops due to unexpected circumstances. Consequently, any substantial XRP drop to $0.10 would likely be due to regulatory actions, particularly if they are perceived as unjust or excessive.

Recall that investors and industry leaders are anticipating a ruling on the Ripple vs SEC case. Experts predict a significant market shift arising from it. John Deaton, who serves as an amicus curiae on the case, has suggested that a ruling may come before May 6.

Egrag noted that if XRP were to drop to $0.10, he would buy a significant amount of it because he believes that traditional players such as banks, institutional investors, and hedge funds may be intentionally driving down the price in order to purchase digital assets at a low cost.

XRP Price Outlook

Conclusively, the analyst thinks such a drop is not possible from a technical analysis view, but a rare Black Swan event caused by unfair regulation is capable of triggering it. He believes that if this happened, it would be a “generational opportunity” to purchase the asset. However, this should not serve as investment advice.

Meanwhile, XRP is currently struggling to reclaim the $0.50 price level after dropping to $0.4468 in the market-wide turbulence. The asset has gained by 0.50% in the past 24 hours, currently trading for $0.4704. Recall that Egrag had previously predicted that XRP could revisit the territory between $0.43 and $0.48. The asset was trading for $0.50 at the time.