XRP is showing the worst performance on the market since February of this year. With price currently trading at $1.12, the asset has already recorded an 11% loss over the week and 20% over the last month. The market positioning of the asset is one of the worst we've seen in the year.
Last chance for the price
XRP's last bullish hope was a short recovery rally towards the $1.3-$1.34 price threshold. It failed to hold on to that momentum and quickly tumbled towards the $1.24 area, which opened it the way towards more losses. Since November 5, XRP lost roughly 14% of its value and lost everything it built up throughout the week.
XRP/USDT Chart by TradingView
Fueled by Binance's hack, the market is still fearful: Bitcoin and Ethereum both plunged. The biggest cryptocurrency risks falling below the $70,000 price area, while Ethereum is struggling around the $2,200 zone. In addition to Binance's turmoil, the industry as a whole is experiencing a series of security-related events.
But where would XRP finally settle down？ Realistically, the closest 'fair' support is the $1 price level, both psychological and technical. Discussing a breakdown below makes little sense, unfortunately, due to the volatile nature of the market.
Suppor level isn't guaranteed
But even if XRP hits the round number support, bulls might still stay sidelined. There are little to no fundamental factors that can help XRP reach key market levels. Even worse, the market in general isn't favoring bulls, so bracing yourself for a prolonged correction might be the wise choice.
In a case, where bulls somehow wake up, a recovery towards $1.2 is the main priority, as it's the level where a lot of investors shoveled XRP in the past. The breakeven threshold often acts as both support and resistance point as investors tend to sell in exchange for not losing money on their positions.
Whether buyers can defend the $1 level or not is the main test for the asset right now. The selling is accelerating, volume is spiking up and a short-lived price bounce here won't change the situation as a whole, unfortunately.
Higher lows and fundamental improvements are two main priorities for the asset right now.