- XRP has reported a price increase in the past 24 hours.
- Despite the current price rally, the bearish trend continues.
Ripple [XRP] It has seen a surge of 3.24% in the past 24 hours. At the time of writing, the altcoin was trading at $0.49. Over the past 7 days, the price has increased by 0.04.
In fact, a 1.1% increase was also reported in the past hour. According to Coinmarketcap, XRP’s market capitalization rose 3.08% to $27.4 billion. However, trading volume fell 18.6% to $813 million in the past 24 hours.
Source: TradingView
According to AMBcrypto analysis, XRP rose from a previous low of $0.46 to $0.51 on June 15, a price increase of 9.45%.
The price increase followed a downward correction from the recently recorded price of $0.45, thus pushing the price higher in the past 24 hours after support held the downtrend.
With the current rally, XRP is expected to rise further if it breaks through the resistance level around $0.53.
Source: TradingView
In fact, an RSI of 45 indicates that there have been more sales than purchases. This RSI index suggests that selling pressure will cause prices to fall. Overall, increased selling pressure causes prices to fall.
Source: TradingView
Similarly, if the CMF is at minus 0.05, it indicates that the bearish trend is continuing. In a way, a CMF below 0 confirms the downtrend. Therefore, the overall market is heading for further declines despite the current price rally.
What do the indicators show?
Source: Santiment
Looking further, various indicators support the continuation of the bearish trend.
According to data from Santiment, XRP is reporting a continued decline in outflows from exchanges. Fewer outflows from exchanges means fewer XRP withdrawals from exchanges to wallets.
When outflows are high, scarcity causes the price of the cryptocurrency to rise, and when outflows decrease, the price falls.
Source: Santiment
Additionally, according to Santiment, XRP has seen an increase in the stablecoin’s supply held by whales: at the time of writing, whales holding more than $5 million in XRP hold $27 million, which represents 52% of the total supply.
The accumulation of trades by a small number of holders has increased price volatility, indicating a bearish trend despite the recent price rally.
Whether this is realistic or not, the market capitalization of XRP in BTC equivalent is as follows:
What does the future hold for XRP?
At the time of writing, XRP has recorded a 3% increase in the past 24 hours. However, the price increase seems to be in tandem with a bearish trend, which various indicators suggest will continue.
The outflow of funds from the exchanges suggests that the bearish trend is continuing. Similarly, the negative CMF suggests further downside potential, while the RSI index of 45 suggests selling pressure that could drag the market further down.
