It has been a difficult first half of 2021 for Ripple prices. The coin slid from the third position, giving up that lead to the Binance Coin, and is now at seventh, deep in red week-to-date.
The Bitcoin Effect
Admittedly, the situation is made complex by the rough crypto waters of the last few weeks.
There is no dismissing the effect of Bitcoin in altcoins.
XRP is one of the most valuable alternative cryptocurrencies. Therefore, depending on the action of BTC, XRP tends to move in tandem. At present, this is what plagues XRP and altcoins across the board.
However, XRP is faced with even more challenges. For one, the coin, compared to ETH and BTC, has thin liquidity.
After the SEC declared XRP as an investment contract, most exchanges, including Coinbase and Binance, suspended trading.
Most said they would re-list XRP once there is regulatory clarity.
Will Coinbase Relist XRP?
The good news now is the events of the last few months.
Ripple seems to be winning versus the SEC.
Accordingly, some quarters of the ever-optimistic XRP Army now say the coin would resume trading at Coinbase. If that happens, there might be some relief rally, lifting the coin from seventh.
Still, traders must wait until clarity is found and Coinbase—who have been ramping up support for a wide array of tokens and coins—do list the asset, exposing it to “hungry” traders.
Before then, Ripple’s fundamentals like smart contract support and sidechain launch prop XRP’s valuation.
Ripple Price Analysis
The Ripple price is down seven percent week-to-date and mirroring the overall state of the market.
Of note, the coin has broken below the bear flag and primary support at $0.85 as sellers press lower. Technically, the path of least resistance, reading from price action in the daily chart, is southwards.
In addition to this printout, XRP bear bars are banding along the lower BB—suggesting increasing sell pressure and odds of lower lows.
Reading from this, aggressive traders can find liquidation opportunities with every pullback towards $0.85 and $0.90.
The first bear target lies at $0.40.
On the reverse side, gains above $0.90—unwinding losses of the weekend—invalidates the downtrend, reviving hammered buyers.
Chart Courtesy of Trading View
Disclosure: Opinions Expressed Are Not Investment Advice. Do Your Research.
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