Important factors behind the sudden decrease

After an attempt to regain the bullish sentiment in the second and third week of March, XRP/USD gradually indicated a bearish prospect. The large Cap Altcoin, with a fully diluted appreciation (FDV) of around $ 236 billion and a 24-hour average trade volume of around $ 3.3 billion, fell almost 4 percent in the last 24 hours to act at $ 2.36 on Thursday 27 March during the mid-European session.

As a result of the sudden decline, more than $ 10 million was liquidated by the lever trade of XRP, with more than 97 percent involving long traders.

What caused the decrease in the XRP price?

In addition to the Bearish technical prospects, the XRP price has experienced a low demand from whale investors. According to data on chains from SantimentXRP Whale investors, with a calculation balance of between 1 million and 10 million coins, have stopped last week and currently have around 5.82 billion coins.

In the meantime, the closure of the sec versus Ripple case has turned into a classic Sell-the-News event after years of a lawsuit. Moreover, more speculative traders have been set up and the profit capacity has recently accelerated.

Nevertheless, the fundamental outlook of XRP remains extremely bullish in the long term by legal clarity and the increasing acceptance of wrinkle products by institutional investors.

Mid -Terms

As Coinpedia has previously reported, the XRP price may have formed a reversing pattern that is characterized by head and shoulders (H&S) in combination with a falling divergence of the Daily Relative Strength Index (RSI). After the end of Wednesday under $ 2.37, the XRP price now wants to re -test the next large support range between $ 1.9 and $ 2.

However, a potential reversal and close to the resistance level around $ 2.5 will result in a new pump in the direction of the price discovery.

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