XRP Price Prediction: Analysis Suggests 40% Crash by September

Is XRP Price about to go down? That’s what the Fractal analysis suggests. The analysis has shown that the price of XRP may be on the verge of a significant collapse, which is bad news for XRP supporters and investors. Experts are cautioning that the current price trend closely resembles a pattern witnessed between April and June 2021, which ultimately led to a significant 65% plunge in subsequent months. 

XRP Price to Go $15 in 18 Months?

Keeping the momentum high in July, XRP ticking up double-digit percentage gains and trading around $0.79, there are growing indications that this bull run could be reaching its exhaustion point. This mirrors the prevailing sentiment across the broader cryptocurrency market.

The enthusiasm surrounding Ripple’s partial legal victory against the United States Securities and Exchange Commission had driven bullish calls for XRP to soar as high as $15 in the near future. However, Ben Armstrong, a well-known crypto analysts argue that an analysis of XRP’s recent candlestick and price momentum patterns suggests a possible sharp market correction if historical trends repeat. 

Key to the concerns raised here is the presence of certain market signals that were previously observed in the Q2 of 2021, which are now re-emerging. These signals include the multiyear descending trendline resistance and an “overbought” relative strength index (RSI).

Whereas if you look at the descending trendline resistance, it is identified as the “upper trendline resistance” on the chart and has consistently restricted XRP’s upward movements since January 2018. Its impact is further reinforced by another horizontal trendline resistance (purple) at approximately $0.93. 

Overbought RSI: A Ticking Time Bomb?

The combination of these resistances and the overbought RSI is now amplifying the risk of a potential market correction for XRP. Should this scenario unfold, analysts predict that XRP’s price could tumble by nearly 40% from its current levels, settling near the lower trendline support at approximately $0.52 by September.

Notably, the projected downside target aligns closely with XRP’s 50-week exponential moving average (50-week EMA), depicted as the red wave on the chart. This adds weight to the possibility of a price bounce around this level, as the 50-week EMA served as vital support during the price decline experienced in Q2 2021.

Hence, as of July 20, XRP’s price has already surged by an impressive 70% since the beginning of the month, significantly outpacing the broader cryptocurrency market, which has only seen a 5% increase during the same period.

In light of these developments, market participants are advised to exercise caution and remain vigilant. The analysis indicates potential vulnerabilities in XRP’s price trajectory, and investors must carefully assess the risks involved when making decisions in the volatile cryptocurrency market.