XRP Price Faces Another Brutal Drop But Chart Analysts See Déjà Vu

TLDR:

• XRP price dropped 78% in the latest crash, adding to $19.6B in total liquidations, the largest since the FTX collapse.
• Analysts link the current XRP cycle to the 2017 rally pattern, hinting at a potential accumulation phase.
• XRP trades at $2.40 with a $7.15B daily volume, reflecting sharp volatility across global exchanges.
• Historical data shows deep XRP corrections often precede renewed price momentum during recovery phases.
  

XRP holders has latest witnessed another major hit in the market. The token’s value tumbled sharply, triggering one of the largest liquidation events in recent crypto history. Traders saw roughly $19.6 billion in positions wiped out within hours. 

Despite the shock, some analysts suggest this cycle looks all too familiar. They believe XRP might be repeating a historic pattern that could set the stage for a potential recovery.

XRP Price Slide Mirrors Previous Market Crashes

Egrag Crypto, a market analyst known for tracking long-term XRP trends, outlined several moments where XRP faced major declines. 

In 2017, the coin fell by 99% after a peak run. When the SEC filed its lawsuit against Ripple in 2021, it dropped 77%. Yesterday’s fall pushed losses to 78%, marking another deep correction in its volatile history.

The scale of recent liquidations has drawn comparisons to earlier market shocks. During the COVID crash, the total hit $1.2 billion, and during the FTX collapse, $1.6 billion was wiped out. The $19.6 billion from the latest drop stands in a league of its own. 

Egrag noted that such deep pullbacks often precede new phases of growth, reminding traders to stay cautious yet observant.

He added that market participants face a personal decision, either exit positions to cut losses or hold through the storm in hope of recovery. His post urged the community to stay grounded and responsible for their choices during this turbulent phase.

XRP Technical Patterns Hint at Familiar Accumulation

Another crypto analyst, EtherNasyonaL, compared XRP’s current movement to its 2017 cycle. Back then, the token rallied strongly, then faced rejection at its previous all-time high before consolidating. The same sequence appears to be playing out again.

After a strong surge earlier in 2024, XRP’s price faced resistance around the 2017 high and has since tested its 2021 level, a zone that once acted as resistance. According to EtherNasyonaL, this setup suggests an accumulation phase may be underway.

Once momentum builds, a parabolic move could follow. He emphasized that patience remains the best approach for those watching XRP’s next potential breakout.

Based on CoinGecko data, XRP trades at $2.40, showing a 3.15% decline in the past 24 hours and 20.46% over the week. Trading volume sits above $7.15 billion, reflecting heightened volatility across exchanges.

While uncertainty surrounds XRP’s short-term direction, long-term holders appear to be focusing on patterns that echo past recovery phases. Whether this setup leads to another explosive cycle or prolonged stagnation will depend on broader market sentiment and investor conviction.

The post XRP Price Faces Another Brutal Drop But Chart Analysts See Déjà Vu appeared first on Blockonomi.

Source: https://blockonomi.com/xrp-price-faces-another-brutal-drop-but-chart-analysts-see-deja-vu/