Last week, XRP’s price declined, underperforming amid the rise of cryptocurrencies like Bitcoin and Ethereum. Despite news of the SEC settlement, XRP continues to drop, causing concern among investors.
Impact of SEC Settlement
XRP began its rally on March 19 following news of the SEC settlement, where Ripple will pay $50 million of the original $125 million fine. Despite this, XRP’s price has dropped over 5% in the last seven days.
XRP/USDT Chart Analysis
Daily XRP/USDT chart analysis reveals two bearish patterns: a head and shoulders formation and a descending triangle, both suggesting potential downside risks for XRP. While XRP is trading above the 20-day moving average, lower highs, declining trading volumes, and resistance around the upper trendline of the triangle suggest caution is warranted for buyers.
Long-term Forecasts for XRP
If XRP fails to maintain the $2 support level, a drop to $1.20 is possible, although the $1.76 zone may provide some support. A confirmed bearish pattern could signal a longer-term downtrend for XRP, indicating seller dominance.
Despite current challenges, buyers remain vigilant. To shift momentum in their favor, XRP needs to quickly reclaim the $2.50 levels, overcoming the upper triangle trendline to improve its market position.
