XRP/USD plunges almost 20% in a week as the crypto market increases stability
|- From an average of $4.5 billion in September's trading volume, XRP has deflated to the current $398 million.
- XRP must break the resistance at $0.495 for a correction above $0.50.
Ripple exploded in fireworks that towered across the entire cryptocurrency market in September. XRP/USD surged more than 100% in a single week to the extent that it threatened Ethereum’s second position in the market. The surge, mainly driven by news surrounding the company’s cross-border payment service, xRapid. However, the fireworks have long died down and Ripple continues to correct towards the bottom.
In the wake of September Surge, Ripple is has fallen at least 19% in the course of the last one week. Besides, in the past four days XRP/USD has plunged over 50% as seen on CryptoCompare website. The declines come after Ripple recorded high 24-hour trading volume in September clocking an average of $4.5 billion. At press time, this volume has fallen to about $398 million. Likewise, the same drop is reflected the coin’s market capitalization which hit above $23 billion in September but currently stands at $18 billion.
Experts in the market and analysts a like believe that the downtrend in the wake of the extraordinary surge is due to the investors taking profit. Ripple (XRP) was stuck below $0.40 for quite some time and a retracement above $0.60 only warranted the investors to offload post price jump.
Ripple hit an all-time high of $3.71 at the beginning of the year. The bear market has led to deflation of the crypto to the extreme of $0.26 before the recent surge. However, the company developments are not slowing down and with xRapid having been launched at Ripple Swell Event it is expected that more strategic partnerships and new markets will crop up in support of the network’s payment solutions.
Ripple price technical picture
Ripple is currently trading at $0.474, it has found bearing at $0.470 after trimming gains from the day’s opening around $0.491. There is a slight bullish trend that is aiming for the immediate resistance at $0.48. As discussed in an earlier published price analysis article, XRP must break the resistance at $0.495 for a correction above $0.50 to occur. Meanwhile, defending the support at $0.47 will be instrumental to avoiding declines towards $0.45 and $0.40 respectively.
XRP/USD 15’ chart
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