XRP price has displayed wobbly performance late after encountering local resistance, which caused a notable retracement. The markets are generally optimistic but cautious as the Bitcoin Fear and Greed Index rose from 33 to 37 in the last 24 hours. Initially, investors speculated about the Trump-Harris debate’s impact on crypto and the price of XRP. However, the duo refrained from mentioning crypto-related matters in their debate, resulting in an anti-climactic evening for the crypto community.
Analyst Calls XRP Ripple Scam
On the macro scale, the price XRP is trending upward, albeit slightly, making it almost unnoticeable. There is definitely not much momentum in the market right now, and the insufficient buy pressure may not be enough to push the XRP price higher soon.
Finance expert Rajat Soni called XRP a ‘slave coin,’ citing it was anything but decentralized. Soni criticized XRP’s association with centralized financial institutions like banks and Central Bank Digital Currencies (CBDCs), which limit the financial freedom inherent in decentralized networks.
XRP is a scam.
Banks will never use XRP.
They will use some form of USD or #Bitcoin
Let me explain:
— Rajat Soni, CFA (@rajatsonifnance) December 18, 2023
Soni advocated for Bitcoin, whose on-chain data suggests it may be nearing its next bull run as the go-to decentralized solution due to its autonomy compared to XRP. Soni says if XRP is banned in the United States, its value could plummet.
XRP supporters fought back, noting that Ripple would shape the future of finance and that Bitcoin fees are continuously rising, limiting the network growth.
XRP Price Analysis
The price of XRP displays a bearish structure with a bear flag formation, indicating a potential continuation to the downside. The Ripple price is currently testing the lower boundary of this pattern, suggesting a breakdown is imminent.
The Chaikin Money Flow (CMF) indicators have been consolidating since the month began, indicating there is not much momentum. The CMF is negative and pointing downward, signaling that sell pressure on XRP may be increasing.
The first support zone lies around $0.478, which is the projected target from the bear flag breakdown. There is an immediate resistance near the upper trendline of the flag at $0.545, with the 50 EMA (green) at $0.5405 providing additional short-term resistance. The 200 EMA (black) at $0.559 is also a major resistance level.
If the price of XRP breaks below $0.533 and maintains momentum, a more significant bearish move could follow, extending below $0.478.
Factors That Could Further Influence XRP
There are factors that could further influence the price of XRP in the coming days. Firstly, the Trump-Harris debate was anti-climactic for the crypto community, as the two presidential aspirants failed to mention anything related to cryptocurrencies.
Trump is pro-crypto, while Harris is an outspoken anti-crypto critic. The lack of crypto mention may have caused Bitcoin to drop, resulting in a total crypto market reduction of 1.7%.
The U.S. CPI data dropped today, and the headline CPI rose by 0.2% MoM, which is in line with expectations. The year-over-year (YoY) CPI fell to 2.5% from July’s 2.9%, which may signal that U.S. inflation eased over August. This could result in a crypto price surge.
Conclusion
As the XRP price faces criticism, several factors, such as the U.S. CPI, can either support a downward trend or a reversal of the bearish thesis. Bulls on XRP will now be keeping a careful eye on these levels to see if the market can recover its strength.
Frequently Asked Questions (FAQs)
The release of U.S. CPI data could significantly impact the price of XRP. If inflation comes in higher than expected, it could negatively affect the crypto market, potentially leading to a further price drop for XRP. The CPI data for August is expected to show a YoY decrease to 2.6%, down from July’s 2.9%.
Yes, there is still a chance for a bullish reversal if XRP can hold key support levels and overcome selling pressure. Investors are closely watching U.S. economic data and market sentiment for any signs of recovery
In addition to technical factors, XRP’s performance is influenced by broader economic conditions like U.S. CPI data, the regulatory landscape, and market sentiment. The ongoing debates about its centralization and future utility also weigh heavily on its price trajectory.
Evans Karanja
Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the video gaming industry. His extensive experience includes collaborating with various startups to deliver insightful and high-quality analyses that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across diverse sectors. Outside of his professional pursuits, he enjoys playing video games and exploring scenic waterfalls.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/xrp-price-risks-drop-to-0-47-as-analyst-calls-ripple-scam/
✓ Share: