Ripple’s XRP token is now trading at its lowest point since October 2017 following a 16% drop over the last 48 hours.
The sell-off has been reflected across all major cryptocurrencies, with Bitcoin also falling to $6,600 while Ethereum continues to stutter at around $122.
XRP’s market cap is now shockingly below $8 billion – a stark contrast to the $142 billion high it reached in January 2018.
From a technical standpoint, XRP’s price chart looks extremely fragile as a number of key support levels have been taken out to the downside.
Moving forwards, XRP needs to rally back above the $0.21 level, which now becomes a stern point of resistance.
A break above the 22 EMA on the daily chart could also spur a relief rally to the upside as it has suppressed price action since November 8.
The next levels of support to the downside for XRP are at $0.16 and $0.14, although a break below those levels could drive price to early-2017 levels at $0.08, $0.06, and even $0.02.
As the price of XRP continues to drop while the market cap of Tether continues to rise, Ripple’s token could lose its third-place spot among all cryptocurrencies.
The project has attracted a lot of criticism this year over its perceived status as a potential security and the ongoing OTC token sales that happen monthly.
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Disclaimer: The views and opinions expressed by the author should not be considered as financial advice. We do not give advice on financial products.