Ripple has been falling since the Christmas of 2021. There is little to no hope of it rising back anytime soon. The year 2022 has begun with a similar trend, causing investors to worry about the future of XRP.
A major sell-off has been termed as a factor to cause the downtrend. This is highlighted by the cross of 55-day Simple Moving Average against 200-day Simple Moving Average.
However, the market remains bullish even at the lowest point of XRP. Experts state that Ripple can bounce back to the mark of $0.78.
XRP Causing Worry To Investors
Yes, experts claim that there is a possibility for Ripple to bounce back to the mark of $0.78 even though investors remain worried about the future of XRP.
It is going downwards to depict a red trendline. This is complemented by the assumption that the US Federal Reserve may raise the rate of interest. The reaction of the market will be to watch out for if the Federal Reserve raises the interest rates.
Hopes are riding high on the bulls. Investors are expecting them to push the graph back to the green trendline. Big investors have decided to maintain their distance from selling the share. This is because there is a minimal profit margin at the current price.
This is the same reason why short-term sellers are staying away from getting into the market. Prices are expected to bounce back shortly, but there is no estimated timeline.
Bullish investors are seeing this as an opportunity to increase their holdings. A lower price is an incentive for them to buy as much as possible. A bounce-back is expected to generate higher profits. The Crypto market is volatile, and one obvious thing that cannot be ignored is that today’s trend can witness a change in its momentum at any time.
The flatlined Relative Strength Index, also known as RSI, is coloring a similar portrait. Bulls have a great opportunity to enter the market or expand their Crypto portfolio.
Investors who are looking to sell will hold on to their shares for a while.
In the meantime, the buying volume has increased. It will increase further once XRP bounces back to the mark of $0.78 or $0.84. The volume will also increase if XRP experiences gains for consecutive days.
January is being marked as a month that is offering a floor to big investors to either get in or make more purchases. It is going to be a rare occurrence where they will sell their holdings at the death cross.
How well XRP bounces back depends on the global market sentiments. There is no clarity on the timeline, but experts are expecting Ripple to have a green trendline shortly.
If you’d like to know more about XRP price predictions, follow the link. Whether you are a seasonal investor or a long-term one, you would be able to gain insight for the betterment.