The post Price Tumbles As Demand Dries Up appeared on BitcoinEthereumNews.com.

Crypto investors are keeping a close eye on Ripple (XRP) as technical indicators paint a concerning picture for the altcoin’s price. After closing below its 20-day exponential moving average (EMA) for four consecutive days, XRP has entered what many analysts interpret as a bearish zone. Related Reading This technical indicator suggests a potential shift in market sentiment, with the average price of XRP over the past 20 days acting as a resistance level. With the current price trading below this key benchmark, analysts fear a decline in demand could be imminent. At the time of writing, XRP was trading at $0.52, down 0.3% and 3.1% in the last 24 hours and seven days, respectively, data from Coingecko shows. Demand For XRP Loses Steam Adding fuel to the bearish fire are XRP’s momentum indicators, which provide insights into the strength and direction of price movements. Both the Relative Strength Index (RSI) and Money Flow Index (MFI) are currently positioned below their neutral points. This suggests that buying pressure behind XRP is waning, with investors potentially looking to offload their holdings rather than accumulate more. Source: Santiment Further dampening the mood is a significant drop in XRP’s active on-chain addresses. According to data from Santiment, the number of daily active addresses on the XRP network has cratered by 30% over the past month. This decline is often seen as a precursor to a price slump, as it indicates a decrease in overall network activity and user engagement. Profit Amidst The Gloom? However, there are some glimmers of hope for XRP bulls. An interesting data point reveals that daily traders are still managing to turn a profit. An analysis of XRP’s daily transaction volume in profit compared to loss shows that for every transaction ending in a loss, 1.16 transactions yield profits. This…

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Filed under: News - @ June 2, 2024 3:24 am