Analysts, including Ali Martinez and XRP Shark, suggest potential scenarios, emphasizing the importance of maintaining levels above $0.55.
The $0.51 threshold is a critical price zone for XRP, as a decline below the support at this level could push the asset below the $0.50 psychological point, with $0.4959 serving as the current location of Fib. 0, the subsequent resistance level.
Yesterday, bears dominated the market, dragging Bitcoin (BTC) below the formidable $40,000 support and relegating Ethereum (ETH) to $2,168. XRP, meanwhile, experienced comparable adverse pressure, falling for the first time since January 3 below $0.51.
The bears’ breach of $0.51 signaled the onset of the decline, as XRP fell below $0.50 and reached its lowest level since October 2023, $0.4962.
The occurrence above highlighted the importance of the $0.51 level, as the altcoin promptly recouped the cost as a precaution against more substantial declines. As it hovers near this critical support level, XRP generates conjecture regarding its forthcoming price trajectory.
What Is XRP’s Frist Next?
Despite this, market analysts have expressed their views on the subject. One such analyst is seasoned market observer Ali Martinez.
Ali’s revelations was highlighted in a January 18 report. The analyst asserts that XRP must maintain its value above the $0.55 threshold. He noted that if the cryptocurrency asset surrenders $0.55, its price could plummet to the $0.34 threshold.
However, XRP may continue to gain traction in the $0.48 to $0.46 price range. This threshold functions as the final line of defense for XRP in the event of a breach occurring below $0.55.
Bulls may be able to utilize this level to stage a comeback if selling pressure at this level diminishes. A full-scale downward pressure, however, could breach this range.
Furthermore, an additional market analyst, XRP Shark, underscored the possibility that the current market assault could incite a more severe decline in XRP, ranging from $0.35 to $0.45.
The analyst considers this price level the lowest possible for XRP, which presents an enticing opportunity to purchase.
He anticipates that XRP will experience a significant recovery campaign after falling between $0.35 and $0.45. However, further declines below $0.30 are still possible. Such a decline, according to XRP Shark, would render his analysis invalid and cause market concern.
As part of a recent analysis, chartist and crypto market analyst JD considered the likelihood of additional declines as he attempted to ascertain the future trajectory of XRP. On the weekly timeframe, he identified a symmetrical triangle pattern in which XRP has been mired since 2021.
According to the information on his chart, the crypto asset is currently approaching the triangle’s lower trendline. JD highlighted an orange box he constructed in November last year, situated between Fibonacci 0.618 and 0.786 and spanning the lower trendline.
JD considers this orange box a favorable level for a dollar-cost averaging (DCA) transaction, observing the possibility of a decline toward the box. He disclosed his intentions to launch a “buy-the-dip” campaign if XRP entered the orange box, stockpiling his bags significantly between $0.28 and $0.33.
