XRP Prints a New Low After Over 8 Months of Consolidation, Could Drop Another 35%
The fourth-largest cryptocurrency by market cap has taken a beating while bitcoin holds its position above the $9,000 level.
Down 2.92%, XRP is currently trading at $0.214, still recording gains of almost 11% YTD.
In the USD market, XRP has managed to recover from the March sell-off but in the BTC market, it continues to tumble down.
Falling to a new low of 0.00002306, XRP/BTC has now plunged to a level last seen in early December 2017 during its climb to a new all-time high.
— DonAlt (@CryptoDonAlt) May 7, 2020
How High This Year?
XRP is the third-lowest percentile gainer in 2020 so far, after EOS (2%) and Litecoin (7.3%). Among the top ten cryptocurrencies, it's also the worst-performing crypto; being. 94.51% down from its peak.
Just before the start of May, analyst Income Shark called out, “$XRP – Trading this one until $0.28 then I'm out. Don't see it going much higher than $.30 this year.”
— TraderArjun (@arjunkkohli) May 7, 2020
Taking a jab at the XRP community, trader Cantering Clarks said, “$XRP holders be like: “Who cares that Ripple planned ongoing public?”
“Why would the value accrue to the thing that grants voting power, ownership, the right to transfer ownership, dividends, the right to inspect corporate documents, and the right to sue for wrongful acts?” he continued.
$XRP holders be like:
"$XRP is a digital commodity, oil recently went below 0, therefore I can only hope XRP does the same so I can have a chance at longing from lower prices"
— Cantering Clark (@CanteringClark) May 6, 2020
The Desperate Last Stand
For the second quarter in a row, Ripple sold zero XRP through exchanges, as per its Q1 2020 report. The San Francisco-based fintech company also recorded its lowest quarterly sales of XRP yet, selling $1.75 million worth of XRP last quarter down from $13.08 million from the previous quarter.
This 87% decrease in XRP sales by the company has been in line with Ripple’s shift to a conservative sales benchmark.
— Josh Olszewicz (@CarpeNoctom) May 6, 2020
The pain for XRP might not be over either as, according to trader Jonny Moe, the digital asset could still fall another 35% from this low.
— Jonny Moe (@JonnyMoeTrades) May 6, 2020
The veteran trader – Peter Brandt – also had some pretty bad news as he said the XRP “chart tells me the bag holders (who need to dump > 40 Bil XRPs) are supporting XRPBTC at .000023 to .000024 as a desperate last stand. Sellers more aggressive since Oct '19.”
“If the bag holders back away, look for a decline to $.000011,” Brandt said.
XRP enthusiasts are unperturbed though. Crypto trader Wolf, who doesn’t own any XRP says, “if a 50% drop leads to X thousands of gains…. then let it drop.” To which Brandt had this to say, “On its way to zero.”