 ▲ XRP (XRP) decline / ChatGPT-generated image © |
Amid the cold headwinds sweeping across the broader cryptocurrency market, XRP (XRP, Ripple) has faced intense downward pressure, sliding to the $1.45 level. As bearish bets pour into the derivatives market and major technical indicators point lower, market tension is mounting over whether a rebound signal from the Moving Average Convergence Divergence (MACD) indicator can prevent a further plunge.
According to investment media outlet FXStreet on February 17 (local time), XRP fell 2% intraday, retreating from its daily opening price of $1.48 to $1.45. As retail investor interest wavers and price volatility increases, XRP futures open interest shrank from $2.56 billion on Monday to $2.53 billion on Tuesday. This figure remains far below the all-time high of $10.94 billion recorded last July, signaling growing risk-off sentiment as investors close positions and hesitate to enter new ones.
Derivatives market indicators are reinforcing the short-term bearish outlook. According to CoinGlass data, funds are flowing into short positions amid weakening confidence in a near-term rally. As of Tuesday, the open interest-weighted funding rate stood at minus 0.0078% and has remained in negative territory since Sunday, raising concerns that unstable price action could persist within the broader downtrend unless clear bullish momentum emerges.
The technical structure also largely points downward. Currently struggling to hold above $1.45, XRP remains trapped well below key resistance levels, including the 50-day exponential moving average at $1.72, the 100-day at $1.93, and the 200-day at $2.13. All three moving averages are trending lower, increasing the likelihood that the ongoing correction may be prolonged. The daily Relative Strength Index (RSI) stands at 40.76, below the neutral 50 mark, limiting upside potential.
However, a recent bullish crossover in the MACD above its signal line offers a glimmer of hope. Expanding green histogram bars could stimulate buying interest if the short-term support at $1.45, tested on Monday, holds firm. Should this momentum persist, XRP may attempt a rebound toward Sunday’s high of $1.67. Conversely, if support breaks, there is a risk of an extended decline toward the Parabolic SAR indicator positioned at $1.21.
Disclaimer: This article is for investment reference only and does not assume responsibility for any investment losses incurred based on it. The content should be interpreted solely for informational purposes.