Sell alert: XRP price facing sharp correction to $1

The ongoing cryptocurrency market bloodbath might have cemented XRP’s bearish move, with the asset potentially staring at an almost 60% drop. The asset’s technical formations suggest that the recent attempt to move towards $3 might have been invalidated, with the next target at $1, considering XRP is forming a bearish head and shoulders pattern , according to crypto analyst Ali Martinez. In an X post on March 4, Martinez observed that the pattern has been forming since December 20, 2024, and the last 24 hours of market movement might have confirmed the shoulder formation. XRP price analysis chart. Source: TradingView/Ali_charts Notably, the pattern consists of three peaks: a higher peak (head) flanked by two lower peaks (left shoulder and right shoulder). In this line, the ‘neckline,’ identified at the $2 support level, serves as a critical threshold. If XRP sustains a break below this level, it could precipitate a significant downturn. For XRP, a sustained drop below $2 could trigger a 57% correction, bringing its price down to the $1 level, a scenario that would erase significant gains made in recent months. Before the recent crash, XRP was riding high after President Donald Trump announced its inclusion in the strategic cryptocurrency reserve alongside Bitcoin ( BTC ), Ethereum ( ETH ), Solana ( SOL ), and Cardano ( ADA ). While XRP enjoyed a short-term bullish wave, Martinez noted on March 3 that the asset had shown signs of invalidating the head and shoulders pattern. If this breakout had occurred, Martinez suggested XRP could have aimed for $3, possibly even hitting a new all-time high of $5. XRP whales on a buying spree Amid the volatility, XRP whales have maintained their optimism, accelerating their accumulation of the asset. According to March 4 data from onchain cryptocurrency analysis platform Santiment , these investors scooped up 1 billion XRP in just 24 hours—a move that often signals an upcoming price rally. XRP whale transaction chart. Source: Santiment/Ali_charts Meanwhile, pseudonymous analyst Captain Faibik shared an optimistic outlook, pointing to XRP’s daily chart. He highlighted a bullish pennant formation in a March 4 X post , suggesting a potential 100% rally. XRP price analysis chart. Source: TradingView/ CryptoCave The analyst explained that the tightening price range between descending resistance and ascending support often precedes a strong upward move. A break above the upper trendline could drive XRP up 80% to 100% in the midterm, targeting fresh highs. Beyond technicals, the ongoing Securities Exchange Commission ( SEC ) vs. Ripple case could shape XRP’s future. With the SEC recently dismissing cases against other crypto players such as Coinbase, many speculate the agency might opt for a dismissal or amicable resolution with Ripple—a development seen as a key driver for the token’s next big move. XRP price analysis By press time, XRP was trading at $2.36, a price it settled at after a massive 10% drop in the last 24 hours. Meanwhile, over the last seven days, the token has rallied more than 10%. XRP seven-day price chart. Source: Finbold The current XRP price suggests the asset is facing potential short-term losses, considering it is trading below its 50-day simple moving average ( SMA ) of $2.68. However, it remains above the 200-day SMA of $1.53, maintaining a bullish long-term trend. Featured image via Shutterstock The post Sell alert: XRP price facing sharp correction to $1 appeared first on Finbold .

Finbold

You can visit the page to read the article.
Source: Finbold