- XRP faces a potential 68% crash to $0.62 as weak on-chain metrics and bearish technical patterns signal further downside.
- Holding the critical $2 support is key, but a break below could accelerate losses amid global market uncertainty.
Ripple’s XRP is treading dangerous waters as multiple bearish signals emerge, threatening a steep decline. Despite a slight recovery to $2.04, XRP remains vulnerable to a sharp 68% drop to $0.62, with technical patterns and on-chain data reinforcing the bearish outlook.
Trump’s ‘Liberation Day’ Tariffs Shake Markets
The global financial landscape has been rattled by U.S. President Donald Trump’s new “Liberation Day” tariffs, triggering uncertainty across traditional and crypto markets. These tariffs, starting at a 10% baseline, led to $19 million in liquidations across the crypto sector, including nearly $4 million in XRP long and short positions, per Coinglass data.
Market-wide selling pressure has pushed the total cryptocurrency valuation down by 3% to $2.77 trillion, with major assets struggling to hold critical support levels.
Also read: Solana Mid-April Price Prediction: Can SOL Reclaim $150?
On-Chain Weakness Adds to Bearish Outlook
XRP’s once-meteoric rise to $3.40 earlier this year is now overshadowed by weakening on-chain metrics. According to Santiment data:
- Network Growth has plummeted, with new addresses declining from 514 in February to just 42 this week.
- Active Addresses have dropped significantly, from 10,200 in January to 4,388, indicating waning investor participation.
- Total Supply has surged, signaling potential oversupply concerns, exacerbated by Ripple’s ongoing monthly token unlocks.
These declining metrics suggest dwindling confidence in XRP’s long-term outlook.
XRP’s Technical Picture: Breakdown Imminent?
A descending triangle pattern on the daily chart signals a potential breakdown below the $2 support level. If this happens, XRP could plummet by 68% to $0.62.
Key indicators reinforce the bearish bias:
- The Relative Strength Index (RSI) is hovering at 38, nearing oversold territory.
- The MACD is flashing a bearish divergence, suggesting further downside.
Can XRP Recover?
The 200-day EMA at $1.93 serves as a crucial support level. If XRP holds above this, a rebound toward $2.50 or even $3.00 remains possible. However, failure to maintain support could trigger a deeper correction, aligning with the predicted crash scenario.
For now, traders should watch the $2 mark closely—its fate could determine XRP’s next major move.
