After going to a bear market after falling about 30% from its highest level in January, the XRP value has faced a rigorous reversal this month.
The Ripple (XRP) token crashed at a low of $ 2.4335 on Wednesday as its daily trading volumes and futures became open interest tumble.
Coinglass data suggests that the futures open interest fell to $ 3.45 billion on Wednesday, below $ 7.45 billion in January. This is an indication that investor demand has decreased in the last few weeks. The daily XRP volume has fallen from $ 32 billion to $ 4 billion a week ago.
Many catalysts may push the XRP price more in the coming months. Auds of a spot ripple ETF polymercate have jumped more than 80%. According to JP Morgan, the spot XRP ETFS may experience more than $ 8 billion in the flow in the first year. This spot will be remarkable since Etharium ETF There are only $ 3 billion in inflow.
Ripple Labs has continued ink deals that will help it become a leading player in the financial services industry. For example, it has partnered with a Portuguese currency exchange provider, unicambio that will use its network for currency transactions.
Ripple also received a money transmitter license in New York and Texas, allowing it to operate its services in these two major American states.
In addition, Ripple USD has continued to gain a market share, its daily volume more than $ 200 million, more than other stabeloin.
The price of XRP may be at risk of a deep dive
Wyckoff theory, which is about 95 years old today, explains how financial property runs over time. It identifies four stages: accumulation, markup, distribution and markdown.
The price of XRP remained in an accumulation phase between 2022 and November 2024. This phase is characterized by consolidation, and in the case of XRP, it remained between $ 0.3260 and $ 0.9326.
After this, the markup went to the stage in November as its price increased, which led to the fear of disappearance among investors. This phase has more demand than supply.
The XRP has now moved to the distribution phase, which is characterized by high volatility. If the principle works well, it will now move to the markdown stage, which can see it a drop for support at $ 0.9325. This support coincides with a 78.6% retracement point and is 61% below the current level.
If the ripple value rises above the high level of $ 3.40, the recession view will be invalid.
