Top Market Watcher Analyzes XRP to Drop to $0.10 Amid Persistent Downturn

XRP has continued to record declines amid the broader market woes, leading prominent crypto analyst EGRAG to re-evaluate its potential to hit $0.10.

XRP has been struggling to recover from the recent market crash that wiped out billions of dollars in value. The asset is trading at around $0.4781, down more than 48% from the yearly peak of $0.93 in July.

Many investors wonder if the asset has any chance of bouncing back or if it will continue to slide lower. Amid this uncertainty, crypto analyst EGRAG evaluated XRP’s potential to drop to $0.10, its lowest value since 2017. He recently shared his thoughts on X.

Initial Thoughts on XRP

EGRAG revisited a previous conversation from April 23, causing him to analyze the bearish scenario and prepare for a worst-case outcome. Notably, the analyst clarified several points before diving into the analysis.

Firstly, he emphasized his unwavering commitment to XRP, noting that he wouldn’t sell his XRP bag until he hits his targets, one of which is $27 in the next bull run. This devotion echoed the sentiments of several XRP investors who view the asset as a long-term investment.

EGRAG framed the analysis as an exercise in mental preparedness, encouraging followers to look for an opportunity to acquire XRP at low prices. While maintaining his bullish stance on XRP, EGRAG adopted a temporary bearish perspective to explore the downside.

He acknowledged the unpredictability of the market, comparing it to a rollercoaster ride. The analyst further compared XRP to a bank account with the potential to deliver substantial returns. 

XRP’s Technicals

He then delved into the technicals to evaluate XRP’s potential to drop to $0.10. EGRAG noted that XRP had been respecting a significant multi-year channel since its inception, indicating a degree of price stability. 

Additionally, he pointed to the significant Fibonacci level at $0.40, which served as a robust monthly support. EGRAG noted that as long as XRP continues to hold this support, he finds it challenging to envision a bearish scenario.

While considering Fibonacci targets and critical technical indicators, EGRAG approached the possibility of XRP dropping to $0.10 with an open mind. He acknowledged that the likelihood of such a drastic decline is low, except for a black swan occurrence.

EGRAG speculated that if XRP’s price crashed, it could create an opportunity for traditional finance institutions like banks and hedge funds to deliberately crash the price and acquire XRP at bargain prices. 

Meanwhile, in the short term, XRP remains within the grasp of the bears. The asset is trading for $0.4781, with persistent drops over the past five days. The ongoing bearish pressure has compounded selling pressure, contributing to XRP’s declines.