XRP is dropping, losing upside momentum, looking at the development in the daily chart. The initial excitement is quickly fading as prices trickle lower, reversing the gains of March 11. Overall, bears have successfully reversed as gains, forming a double top. Notably, the reversal is happening at the same point as in early November 2023.

The coin is now stable in the past day but down 15% in the previous week. Sellers are firmly in control, though the downtrend has been relatively choppy. Since prices are steady, the market cap is also flat-lining at around $32.5 billion. However, unlike in the previous day, trading volume is down 20%. This suggests that traders might be keeping off the markets in light of upcoming fundamental events.

The following XRP and Ripple news events are worth noting:

• On-chain data shows that XRP whales have been moving coins; but at a loss. Sentiment data shows that the mood is generally bearish with potential hints of price capitulation, which is overly bearish.
• The current sentiment is overly bearish and made worse by slumping Bitcoin prices. Considering the correlation between the two coins, prices might continue dumping if the broader crypto market sell-off persists in the short term.

XRP Price Analysis

XRP/USD is falling, wiping out gains, as the daily chart shows.

Even though buyers are hopeful, the double-top formation in the daily chart dents optimism, favoring sellers.

With prices below March 11 lows, traders can search for short entries below $0.66.

If losses are extended, the immediate bear target will be at $0.52 and $0.50, marking February 2022 lows.

Nonetheless, traders should note that the zone between $0.56 and $0.59 is a strong support level.

A reversal above $0.66 cancels this bearish bias. In that case, XRP might find the momentum to race towards $0.74.