XRP Triggers Bearish Crossover, Potential 70-80% Price Drop Possible
XRP has outperformed most cryptocurrencies, including Ethereum, in the recent bull market. However, a bearish signal from the monthly LMACD indicator suggests a potential 70-80% price drop.
Bearish Crossover of Monthly LMACD for XRP
- XRP has triggered its third-ever bearish crossover on the monthly LMACD.
- Past bearish crossovers led to significant drops: 87% in 2018 and 71% in 2021.
- The current signal is unconfirmed, requiring bulls to push prices higher to avoid confirmation.
The LMACD (logarithmic moving average convergence divergence) indicates momentum changes. A red histogram suggests a bearish crossover of moving averages.
Potential Price Impact
- A 70% decline could bring XRP's price to approximately $0.70.
- Analysts predict possible higher targets up to $10, but momentum indicators show bearish signs.
Bulls still have a chance to reverse the trend if they can push the LMACD lines to diverge upwards, although this may take time given the current high timeframe signals.