Altcoins
XRP struggles to hold on to $0.52: What’s next for the altcoin?
- XRP support is under strain due to poor price trends.
- Over a billion XRP holders are now profitless.
XRP has faced difficulties in recent days, but it has managed to stay above a crucial threshold. How is total supply doing in terms of profit and what factors might help maintain its current price range?
XRP relies heavily on support
At the end of last week, XRP the price managed to break above its short moving average (yellow line) with an increase of over 1%, bringing its value to around $0.54. This decision indicates a positive dynamic.
However, a 2.46% drop earlier this week erased those gains, bringing the price down to around $0.52.
At press time, its price was trading around $0.52, with the yellow line now acting as immediate support.
Source: TradingView
The long moving average (blue line) remained a resistance level at around $0.58. Additionally, the Relative Strength Index (RSI) indicated that XRP was experiencing a weak uptrend.
The RSI is currently at the neutral line and could fall below it in the event of a significant price decline.
Demand for XRP remains stable
Analysis by AMBCrypto of the total number of XRP Holders revealed that demand has been relatively stable in recent days, with around 5.2 million holders at the time of writing.
This number has remained unchanged over the past three days, indicating that there is no rush to accumulate the asset despite the price action.
Source: Santiment
Trading volume has not shown any significant activity recently, with volume around $793 million.
Given this low level of activity, current support may struggle to hold, which could cause prices to fall soon.
The supply of profits decreases
AMBCrypto’s look at the total supply of XRP revealed that the volume of this profit offer has decreased due to the recent price drop.
According to a study of the graph on Feelingapproximately 1 billion XRP went from a profitable position to a loss between May 25 and time running out.
Source: Santiment
Realistic or not, here is Market capitalization of XRP in BTC terms
On May 25, the profit volume stood at over 80 billion XRP, but at the time of writing, it had fallen to around 79 billion.
This change resulted in a decrease in the bid’s percentage of profit from over 80% to around 79% at the time of writing.