Ripple (XRP) Analysis: Price Struggles at $0.60 Resistance

Current Market Conditions for XRP

Altcoin analysis indicates that XRP has recorded a 9% price rally since September 6, pushing the altcoin’s price towards the wall of resistance formed at $0.60. However, as demand for the altcoin begins to taper off, history is poised to repeat itself. XRP may be unable to push past this crucial resistance level.

Ripple Price Troubles Are Only a Few Days Old

XRP demand peaked on September 13 but has declined since. According to Santiment, daily active and new addresses for the token have decreased. In the past three days, the number of wallet addresses completing at least one XRP transaction dropped by 18%, while new addresses created to trade the altcoin fell by 8% during the same period.

XRP Network Activity

• XRP currently trading at $0.57
• Price declined by 3% over the past two days
• Drop pushed XRP below its 20-day exponential moving average (EMA)

When an asset sees a decline in network activity, it usually means fewer addresses are interacting with its blockchain, signaling reduced interest. This has been the case with XRP, as its price began to drop alongside a decrease in daily active and new addresses.

XRP Price Analysis

Market participants interpret a break below the 20-day EMA as a signal to exit long positions and take short ones as they anticipate a further price decline.