XRP Price Prediction: Ripple faces significant selling pressure as network activity fades away
|- XRP price is at risk of a significant pullback as selling pressure keeps mounting.
- The number of active addresses has notably declined in the past month.
- Interest in the digital asset seems to have faded away.
XRP remains under a lot of pressure due to the SEC lawsuit and it seems that investors are not very interested in the digital asset anymore. Ripple hasn’t said much about the lawsuit which could extend to the end of 2021.
XRP price at risk of plummeting as interest fades away
Besides a significant spike in the number of active addresses on January 31, when a Reddit group decided to pump XRP, this metric has been slowly declined to a current low of 12,000 active addresses per day.
XRP Active Addresses chart
Similarly, the social volume of XRP has also significantly dropped in the past month and a half, despite the bullishness of the entire cryptocurrency market.
XRP Social Volume
On the 4-hour chart, XRP faces a strong resistance level at $0.456 which is the 100-SMA and the 50-SMA at $0.46. The next bearish price target is $0.421 followed by a low of $0.393.
XRP/USD 4-hour chart
On the other hand, reclaiming the 50-SMA and the 100-SMA, XRP price should quickly rise towards the critical resistance level at $0.495. A breakout above this point would drive XRP to $0.6.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.