XRP Price Prediction: Possible Drop Below $0.5 on the Horizon

XRP price prediction: A drop below $0.5 seems likely and here’s why

An increase in investor interest has been evident in the robust on-chain activity surrounding Ripple’s XRP; however, recent price movements indicate a bearish trend unfolding on the daily chart. While Bitcoin has seen an 8.3% rise in the past week, XRP has experienced a 1.62% decline.

November’s XRP price forecast tends towards a bearish outlook with a slight possibility of a short-term 3% rebound. Looking ahead, a potential recovery

Evaluating the Predominance of Bears in XRP Price Prediction

Since August 2023, XRP has been range-bound between $0.72 and $0.46. In July 2024, the price seemed to dip below the lower range limit but swiftly bounced back, reaching as high as $0.638.

Over the last four months, the $0.64 region has cemented itself as a strong resistance area. The $0.5865 midpoint switched roles to support, and although a breakout was attempted in late September, it failed to materialize.

Historically, the $0.52 mark has proven to be a solid support level, but on the 25th of October, bears pushed XRP down to $0.486.

This reinforced the bearish sentiment on lower timeframes and the daily close below $0.52 signaled a seller advantage. This analysis was corroborated by the Money Flow Index, dropping below 50, with the CMF failing to surpass +0.05, indicating a lack of significant capital inflows in October.

Expectations for Short-Term Price Volatility

Reviewing the one-month liquidation heatmap highlighted $0.54 and $0.57 as crucial levels near the price point. Of the two, $0.57 holds more significance, but recent price action suggests a move towards $0.57 is improbable.

A projected scenario for XRP in November envisions a bounce towards $0.54 to gather liquidity before potentially dropping below $0.5. Downward targets include the range bottom at $0.46 and the August low at $0.432, particularly if Bitcoin witnesses a considerable retreat from the near $73.7k all-time high.

An upside breakthrough beyond both $0.54 and $0.57 could pave the way for XRP to retest local peaks near $0.62, although recent weeks have shown a lack of demand, making such a scenario less likely.

Disclaimer: The views expressed are purely the writer’s opinion and do not constitute financial, investment, or trading advice.

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