The XRP price could be that on the verge of a huge crashbecause a crypto analyst has identified a key technical pattern in the cryptocurrency’s structure that signals a potentially serious downturn. According to the analyst, this formation has only appeared twice in XRP’s history, and each time it has been preceded by a devastating loss. If the pattern were to repeat, the cryptocurrency could be headed for more pain. The analyst warns traders and investors about this stop buying XRP at this time, citing increased risk.
Analysts advise against buying XRP because the price is crashing
An urgent warning from market analyst Steph is that Crypto has spread throughout the community just as he has advises traders and investors to “stop touching XRP.” The analyst shared a video of his XRP price prediction on a recent
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Steph Is Crypto shared his study of the monthly magazine Moving average convergence divergence (MACD) as XRP has revealed a new bearish crossover taking shape, signaling decreasing momentum. The analyst stated that XRP had formed a bearish crossover on the chart only twice since its inception in 2012. Both times this pattern appeared, the cryptocurrency suffered one of the most dramatic price crashes ever, losing more than half of its value immediately afterwards.
He explained that during the first one bearish crossover in 2019, XRP crashed by over 84%. Similarly, a second crossover appeared again in 2022, leading to a deep price drop of around 67%. It’s worth emphasizing that XRP formed this every time bearish signal, it was after a major bull market.
In 2018, the cryptocurrency staged a historic rally that sent its price soaring to the US the current all-time high above $3.84. Likewise, the steep correction in 2022 came after an explosion Bull market of 2021one of the most powerful in the history of crypto.
As in the past, Steph Is Crypto sees another bearish crossover forming in the current cycle, indicating that conditions are ready for another devastating price crash. He admitted that he wished he hadn’t seen this formation on the XRP chart, which he underlined his generally optimistic attitude on cryptocurrency. The analyst has warned traders to take this historical setup seriously and consider the possibility that XRP could revisit significantly lower price ranges if the pattern repeats.
XRP price momentum remains weak
XRP remains in a downward trendwith the price barely staying above $2.00. According to CoinMarketCap, the cryptocurrency is down more than 15% so far this month, down about 2.2% in the past week, and crashed about 16% year to date.
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XRP’s price momentum is weak and there is little evidence of a near-term recovery. The cryptocurrency’s Fear and Greed Index has done just that slipped to 42, closer to the ‘fear zone’. This uncertainty in the market is driven by the cryptocurrency’s sluggish price action, despite passing $3.00 earlier this year and almost challenging its all-time high.
Featured image created with Dall.E, chart from Tradingview.com