XRP Price To Crash 40%? Analyst Reveals Worst-Case Scenario

XRP has found itself back under the microscope as bullish momentum is yet to return with full ￰0￱ weekend is here, and XRP’s price action is still perambulating around last weekend’s flash crash, which saw the cryptocurrency register its biggest liquidation candlestick in history. Now, XRP is trying to recover to higher price levels above $2. Interestingly, one technical analysis warns that, before any major rebound, the price of XRP could suffer a severe decline, possibly down as much as 40%. While such a drop would be painful for holders, the scenario is being cast not as a permanent collapse but as a capitulation move that might precede a stronger ￰1￱ Reading: Biggest Shiba Inu Burn In Months — And It Came From A Coinbase Account Worst Case Scenario What transpired last weekend in the crypto markets qualifies as the largest deleveraging event in recent ￰2￱ positions were forcibly closed out across many exchanges, leading to cascading liquidations that sent price action into a free ￰3￱ such, about $19 billion in positions was wiped out in the span of ￰4￱ XRP’s case, that intense pressure led to a violent plunge that created a deep low wick to break below $1.6 on its price chart before a quick rebound above $2.2.

That wick is central to the argument that the forced selling squeezed both longs and shorts, clearing excess leverage and setting the stage for price discovery to reset. However, a suggestion is that the worst may not yet be fully priced in, and that this purge might continue deeper before sentiment truly turns ￰5￱ worst-case scenario outlook is based on an analysis by Steph Is Crypto that envisions another possible 40% crash in the XRP ￰6￱ shown in the price chart below, XRP’s price action might fall to revisit last weekend flash crash bottom just above $1.55. This price level may represent the deepest downside target before the market catches its footing ￰7￱ current levels give way, say if XRP loses its more immediate support zones at $2.2 and $2, the descent toward that boundary would amount to a drop of about 30 to 40%.

XRP Price Chart Analysis.