XRP has entered a potential “good buy” zone amid a broader crypto market sell-off. On-chain data suggests increased trading volumes and negative average returns for XRP holders, signaling a possible buying opportunity.
What to Know:
- XRP has entered a potential “good buy” zone amid a broader crypto market sell-off.
- On-chain data suggests increased trading volumes and negative average returns for XRP holders, signaling a possible buying opportunity.
- Market sentiment has hit “extreme fear,” potentially increasing the chances of a relief rally for XRP and other cryptocurrencies.
XRP is currently navigating a market-wide downturn, experiencing a seven-day decline that bottomed out at $2.10. This dip aligns with a broader trend of waning risk sentiment and technically driven trading behavior affecting major cryptocurrencies. Despite the price drop, on-chain data indicates that XRP may be entering a favorable accumulation phase.
XRP’s trading volume has surged by 71% in the last 24 hours, reaching $7.4 billion, suggesting heightened trader activity. Data indicates that XRP is now in a “good buy” zone, potentially attracting investors looking for discounted entry points. The recent downturn has pushed XRP wallets active in the past 30 days to an average performance of -10.2%, according to on-chain analytics firm Santiment.
🤕 The vast majority of cryptocurrencies are now flashing extreme pain for average trading returns. Wallets active in the past 30 days have an average performance of:
📌 Cardano $ADA: -19.7% (Extreme Buy Zone)
📌Chainlink $LINK: -16.8% (Extreme Buy Zone)
📌Ethereum $ETH: -15.4… pic.twitter.com/l0mUrDWOzm
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The broader market sentiment reflects “extreme fear” amid increased volatility, with the Fear & Greed Index reaching levels not seen since July 2022. This level of fear often precedes a relief rally, presenting opportunities for strategic investors. Should the market rebound, XRP may encounter resistance at $2.50 and $2.63, coinciding with the daily MA 50 and 200, respectively.
As XRP navigates the current market conditions, potential investors should monitor key support and resistance levels. The convergence of on-chain data, increased trading volumes, and “extreme fear” sentiment suggests that XRP may be poised for a recovery. Keeping an eye on Bitcoin’s price action and any regulatory developments will also be crucial for making informed decisions in the crypto market.
Related: XRP Price: $12M Max Pain for Bears
Source: Original article
Quick Summary
XRP has entered a potential “good buy” zone amid a broader crypto market sell-off. On-chain data suggests increased trading volumes and negative average returns for XRP holders, signaling a possible buying opportunity. Market sentiment has hit “extreme fear,” potentially increasing the chances of a relief rally for XRP and other cryptocurrencies.
Source
Information sourced from official Ripple publications, institutional research, regulatory documentation and reputable crypto news outlets.
Author
Ripple Van Winkle is a cryptocurrency analyst and founder of XRP Right Now. He has been active in the crypto space for over 8 years and has generated more than 25 million views across YouTube covering XRP daily.
Editorial Note
Opinions are the author's alone and for informational purposes only. This publication does not provide investment advice.
