Bearish pattern to catalyze 10% decline in XRP price. continue to hold;

Amid market uncertainty, XRP price skewed below the $0.433 resistance zone. This consolidation revealed the formation of a descending triangle pattern, indicating that coin holders are in a correction. As of press time, the coin price is trading at $0.39 with an intraday loss of 1.56%. However, a potential break from the $0.39 neck support will intensify the selling pressure in the market.

Basic points:

• Possible breakdown below $0.39 support will send XRP price down 10%
• An EMA level (50, 100 and 200) highlights a sideways trend
• Intraday trading volume on XRP is $940.1 million, indicating a loss of 6.6%.

Source- Tradingview

During the last three, the price of XRP has been resonating in a descending triangle pattern. During this pattern formation, prices face dynamic resistance from a trend line of dynamic resistance and a firm horizontal support.

Theoretically, the series of lower highs formed during the formation of the pattern indicates the weakening of the upward momentum that eventually leads to a break from the neck support. A breakdown below the neck level displays a sign of a possible sell-off and further downward price movement.

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A daily candle closing below $0.39 will accelerate selling pressure and provide a short-selling opportunity for traders. The possible downside could send the price down 10% to retest the $0.355 support.

Conversely, despite the fact that there is a potential sell-off, a rise above the pattern resistance will offset the bearish momentum and could encourage further growth in the Ripple coin.

Technical Indicator

EMAs: the 50-day and 100-day move near the $0.393 level has eclipsed the support power of this level, trying to offset the bearish position.

MACD: a bearish crossover, the widening gap between the MACD(blue) and the slope of the signal highlights increased selling pressure in the market.

Intraday XRP Price Levels

• Spot price: $0.396
• Trend: Downward
• Volatility: High
• Resistance level – $0.4 and $0.436
• Support level – $0.39 and $0.37