XRP, the digital currency associated with Ripple, is inching closer to a horizontal support level, according to a recent alert from crypto analytics firm 100eyes Crypto Scanner.
This comes as the broader cryptocurrency market shows signs of struggle, with Bitcoin on track to dip below $26,000, and Ethereum also showing a downward trend, according to CoinGecko data.
In trading terms, approaching "horizontal support" refers to a situation where an asset like XRP comes near a particular price level where it has historically found buying interest, preventing the price from falling any further.
Godfrey BenjaminThe news of XRP nearing horizontal support is noteworthy given Ripple's recent legal win against the U.S. Securities and Exchange Commission (SEC). The controversial digital asset appears to be aligning with the broader market sentiment, which remains subdued.
In the past week, XRP's price has fallen 1.2%, trading at approximately $0.51, with a 24-hour volume of nearly $964 million, according to CoinGecko.
This market-wide downturn comes despite recent favorable court decisions in the crypto sector. Grayscale, a leading crypto asset manager, secured a significant win against the SEC, echoing Ripple's own victory.
Nevertheless, these legal milestones have not translated into bullish momentum for the market. Bitcoin, the market's leader, has dropped 4.0% in the last 24 hours and is on track to fall below the $26,000 mark, further fueling doubts about the short-term prospects for digital assets.
The general mood of the crypto market remains one of cautious optimism balanced by stark realities. In the case of XRP, whether it will bounce back upon reaching the horizontal support or break through it in a downward spiral remains to be seen.
Dan Burgin
Vladislav Sopov