Ripple’s digital currency, XRP, is getting close to a crucial “horizontal support” level even as the cryptocurrency market as a whole show’s signs of weakness.
According to a new warning from crypto analytics company 100eyes Crypto Scanner, the digital currency connected with Ripple (XRP) is getting closer to a horizontal support level.
CoinGecko data suggests that Ethereum is also on a downward trend, and this comes at a time when the cryptocurrency industry as a whole seems to be struggling.
When an asset like XRP approaches a price level where it has historically received buying interest, preventing the price from dropping further, this is known as approaching “horizontal support” in the jargon of financial markets.
In light of Ripple’s recent victory in court against the U.S. Securities and Exchange Commission (SEC), the rumor that XRP is drawing close to horizontal support is interesting. The contentious cryptocurrency looks to be reflecting the general market’s muted mood.
XRP has lost 1.2% of its value in the last week, trading at about $0.51 with a 24-hour volume of roughly $964 million, as reported by CoinGecko.
Recent positive judicial judgments in the cryptocurrency industry have not prevented this market-wide decline. Grayscale, a prominent crypto asset management, has just won a major victory against the SEC.
Nonetheless, the market has not responded positively to these legal developments. The market leader, Bitcoin, has lost 4% in the previous day and is on course to go below the $26,000 level, adding to concerns about the near-term future of digital assets.
