The XRP value has lost the speed of the speed experienced in the fourth quarter and is now at risk of a deep recession.
Ripple (XRP) fell below the $ 2 support level for the first time since February 2, as the Crypto market recession continued.
The ongoing decline is largely inspired by massive economic factors in the United States, where Donald Trump has threatened heavy tariffs on Canadian, Mexican and Chinese goods.
These tariffs can force the Federal Reserve to cut premature interest rates and force the Federal Reserve. In fact, the yield of a 10 -year treasury has fallen to 4.26%, while the yield of 30 years has come down to 4.53%. A few months ago, the two hovering near 5%, as the Federal Reserve indicated their intentions to keep the rates longer.
Despite the fall in the price, Ripple’s fundamentals are solid. The Securities and Exchange Commission obstacles that abolish their trial against Ripple have improved, especially now that the agency has dropped its cases against the coinbase and Uniswap.
Meanwhile, XRP laser ecosystem continues to attract more developers, and speculation at a possible location has increased the XRP exchange-traded funds. If approved, an XRP ETF can attract billions in inflow, which increases high demand for tokens.
XRP value crashes in the field of danger
Technical indicators suggest that in the coming days, Ripple may be led to a strong recession breakout, now it has entered a danger area. The price crashed at a low of $ 1.9615, since a major level it served as a neckline of head-and-probe patterns.
The head-end-shoulder pattern consists of one head, two shoulders and a neckline. The breakout of a recession is confirmed when the value falls under the neckline.
Additionally, the price of XRP has reached 50% Fibonacci retracement level and fell below the 50-day moving average. The average directional index has also increased to 36, indicating a strong tendency, as adx readings usually confirm the strength of speed.
Given these factors, the price of ripple may fall at 61.8% of the retracement level by $ 1.6230, where it can experience a reversal. This retracement level, known as a golden ratio, is where most of the pullbacks are usually occurred.
Failure to hold this support can lead to further negative, potentially the XRP may push the $ 1.13, 78.6% retracement level, about 45% below the current price.
