XRP, one of the altcoins that benefited most from US President Donald Trump’s presidential victory, has fallen by approximately 60% from its peak of $3.6.
XRP has been trading between $1.5 and $1.3 since February, and according to the data, there is a risk of it falling below $1.
According to Glassnode, there is strong resistance at the $1.4 level, and the daily XRP price chart points to a symmetrical triangle formation.
The XRP price is positioned within a symmetrical triangle pattern, between the upper line at $1.43 and the lower line at $1.35.
Accordingly, a daily candlestick close below the lower line level in XRP could confirm the symmetrical triangle, paving the way for a deeper correction. This could mean a drop below $1.
Analyst BitGuru pointed to the $1.20-$1.22 support level for XRP.
“If a base forms at these levels and buyers step in, a rapid bounce towards the $1.80-$2.20 levels could occur, signaling the start of a recovery.”
However, the situation is not so encouraging for XRP. CryptoQuant analyst Darkfost stated last week that over 472 million XRP, worth approximately $652 million, were transferred to Binance.
This was the largest inflow into exchanges in February, and exchange transfers are generally interpreted as a sign of a desire to sell.
At this point, the analyst stated, “These types of inflows generally reflect a more defensive stance among investors holding XRP. The volume of such flows could create conditions for a sudden wave of selling pressure that could affect price movements in the short term.”
This is because an increase in the supply of XRP on exchanges is seen as a classic bearish signal, potentially exceeding demand and increasing selling pressure.
