Why XRP Might Plunge to $0.80: Key Signs Point to a Potential Price Crash

• XRP’s network activity drops, signaling potential price decline to $0.80.
• Whale sell-offs increase, putting pressure on XRP’s critical support levels.
• RSI and Bollinger Bands hint at further downside risk for XRP.

The XRP community is growing increasingly concerned after a recent update from Ali Charts, which raised alarms about a potential price drop. According to Ali Charts, XRP could be at risk of a significant decline, potentially falling to $0.80. This warning comes as network activity has cooled, and whale sell-offs are increasing, adding pressure to an already fragile market.

Recent data shows that daily active addresses on the XRP network have sharply decreased. In just a week, the number of active addresses has dropped from 46,000 to 38,500, signaling a notable decline in user participation and engagement. This drop in network activity indicates weakening investor interest and raises questions about XRP’s ability to maintain its current price levels.

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Furthermore, whale activity is adding to the downward pressure. Over the past few days, whales have sold off more than 40 million XRP tokens. This selling spree suggests that large holders of XRP are losing confidence in the token’s future performance. If these trends continue, the selling pressure could escalate, pushing XRP’s price down further.

XRP is currently hovering around a critical support level at $1.77. According to Ali Charts, if XRP fails to hold above this level, the next major support zone lies near $0.80. A breakdown below this level could lead to a significant price drop, with the possibility of further losses for investors in the short term.

Declining Participation and Increased Selling Pressure Could Lead to Major Losses

The combination of reduced network activity and the increasing sell-offs by whales is raising serious concerns for XRP’s price stability. Historically, whale movements have had a major impact on XRP’s price, and their recent sell-offs are a clear sign that the market sentiment is turning bearish. Additionally, the drop in daily active addresses indicates that investor confidence is waning, further contributing to the negative outlook.

For XRP to avoid a potential collapse, there will need to be a significant rebound in both network participation and buying interest. If this doesn’t happen soon, the cryptocurrency could face even more downward pressure. Investors will need to carefully monitor XRP’s price movements in the coming days, as a failure to hold key support levels could result in a sharp decline, with $0.80 becoming a critical price point to watch.

XRP Price Action and RSI Signal Possible Drop

Analyzing the recent price action of XRP on the chart reveals further bearish signs. Currently, XRP is trading just below the $1.90 level, and the Relative Strength Index (RSI) is sitting at 41.74, indicating that the token is in neutral territory but edging toward oversold conditions. This suggests that there is still room for a potential decline if selling pressure continues.

Source: Tradingview

The Bollinger Bands on the chart show that XRP is trading closer to the lower band, which typically indicates that the price is at risk of further downside. As the price hovers near key support levels and the RSI indicates weakening momentum, XRP could be headed for a drop toward the $0.80 support zone if these trends persist.

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