XRP eyes a slip below $2 in the coming days. It prints its fifth consecutive red, dipping to $2.07, the lowest in over fourteen days.
The altcoin’s price performance over the last five days was bearish, as prices declined. It is easy to draw a falling pattern from the movement. However, indicators point to an impending shift in trajectory.
Nonetheless, it is worth noting that Ripple announced a change to one of its programs. The company announced that it would no longer publish quarterly reports, which sparked a notable reaction from investors.
The cryptocurrency’s dip close to $2 may be in response to the move. Some claimed the end to the reports may be due to the firm planning a bigger action. It is worth noting that there are notable uncertainties as to the results of the latest announcements. It bears mentioning that some individuals see the halt as an innovation to help Ripple focus on other endeavors.
Investors may continue to express displeasure, reducing the buying volume and hindering any upside movement. Other metrics suggest that the asset may be gearing up for further declines.
Open Interest Hits Lowest in Two Weeks
Data from Coinglass shows that traders are losing interest in XRP. Exchange Futures Open Interest has been on the decline since May 2. Comparing this trend to prices, it is clearly about the same time the retracement started. A continuous drop in OI may fuel further price dips.
The indicators on the one-day chart are bearish. Last week, the moving average convergence divergence displayed a negative interception. The 12-day and 26-day EMAs continued downward as trading conditions worsened.
Nonetheless, the Bollinger bands show that the asset has maintained almost equal volatility over the last six days. Both bands continue moving parallel to each other and show no signs of changing their trajectory. This may mean the current trend may extend. However, XRP edged close to the lower band a few hours ago. Another retest may seal a rebound.
The relative strength index shows a slight increase in buying volume. The latest change may be due to growing optimism that the Federal Reserve will announce a rate cut on Apr 7.
XRP May Slip Below $2
Readings from MACD suggest that the altcoin may experience further declines in the coming days. Previous price movement points to a possible slip below $2 in the event of further decline. The weeks starting Mar 31 are one such event. The asset hovered above $2 for most of the session, surging to a high of $2.20. However, it lost momentum, dipping to $1.90.
It is essential to consider that the next 24 hours will be significant for the crypto market. A rate will mean further price increases, while the opposite may accelerate the bearish prediction. Nonetheless, XRP may surge as high as $2.20 in the event of a positive result to the FOMC meeting.
Other top cryptocurrencies may experience a similar movement. Cardano is up by over 2% as excitement builds up. Currently exchanging at $0.68, the asset may surge to its previous high of $0.74. Nonetheless, it risks a decline to $0.60.
