Analysts predict the formation of a tombstone doji may lead to XRP price big dump 40%

A cryptocurrency analyst predicts that the price of XRP will experience a big dump of 40%, and the long-awaited pump in the XRP price may soon come to an end. Despite the recent bullish momentum of XRP breaking the $1 mark, the analyst reveals that XRP is showing a gravestone doji pattern, indicating a bearish outlook for cryptocurrency.

"Without Worries" Cryptocurrency analyst has released a detailed analysis of XRP PA, predicting a big dump of 40% in the short term. The analyst emphasizes that this 40% drop could happen within a few days, and XRP will witness a significant reversal from recent price highs.

According to Cryptocurrency experts, the price of XRP has pumped 150% in the past 10 days, showing an astonishing increase. This pump in price has pushed it to the $1 mark for the first time in three years. Despite these bullish developments, analysts have highlighted several reasons and technical indicators that indicate a potential trend reversal and price adjustment for XRP.

In the XRP price chart, analysts have identified and confirmed the gravestone doji, a bearish candlestick pattern that appears at market tops and suggests a possible pullback in price. The gravestone doji candlestick indicates that buyers attempting to push up the XRP price have been overwhelmed by sellers taking profits. Another indicator suggesting that the XRP price may be preparing for a significant pullback is the breakout of the Relative Strength Index (RSI) and the Money Flow Index (MFI) support. RSI measures the speed and change of asset price movements, indicating whether the asset is overbought or oversold. On the other hand, MFI considers both price and volume, highlighting where the money flow is heading.

XRP's RSI breaking through the support level indicates a possible reversal in trend due to the market being Overbought. The MFI breaking through the support level (analysts say this is a very noteworthy indicator) indicates that funds are withdrawing from the asset, ultimately indicating a reduction in buying pressure.

As mentioned earlier, analysts predict that the XRP price may experience a big dump of 40%, which means the value of Crypto Assets may fall from the current $1.11 to $0.66. In addition to the above factors, market experts also indicate that the price movement of XRP currently exceeds the Bollinger Bands, which are used to measure the price volatility of assets.

Analysts reveal that 95% of the price action occurs within the Bollinger Bands. Therefore, prices outside the Bollinger Bands usually signal a pullback or a pullback to the mean point of $0.73. In addition, he pointed out that the Bollinger Bands are curving inward, indicating that XRP buyers may have exhausted, thus increasing the possibility of price reversal.

In addition, Cryptocurrency analysts emphasize that most traders are either bullish on XRP or bullish on XRP, which is a Reverse signal for the price outlook of Crypto Assets. While he acknowledges that XRP may continue to pump, the analyst also points out that current indicators suggest this is unlikely.


(Data source: Scott Matherson)