Ripple’s XRP is one of the biggest losers amid the ongoing downtrend in the overall crypto market, down by over 16% in the past 24 hours and losing more than one-third of its value over the past week. At the time of writing, XRP/USD is trading around $0.57.
While it may be too soon to sound optimistic, it looks like the digital asset is garnering some interest among buyers at these lows. XRP might be trying to work its way back up from the $0.57 level – a two-month low that it had dropped to earlier in the day.
The bearish sentiment in the overall crypto market over the past several weeks received another boost over reports of China banning more crypto mining activities in the Sichuan Province. With this, the nation’s bitcoin mining capabilities have contracted by over 90%, sending not only the market leader lower but affecting all other cryptocurrencies across the board as a result of the uncertainties miners face.
On the legal front, the lawsuit between Ripple and the SEC is expected to drag on at least until the close of discovery, which is scheduled to occur on August 31, as per attorney Jeremy Hogan. He had previously forecast that the case could end in a settlement before reaching trial, although he now thinks this is unlikely to happen until at least August 31. Hogan expects the case again to extend until at least early 2022.
Key Levels to Watch
On the 4-hour chart, moving averages and leading technical indicators MACD as well as momentum are suggesting a strong bearish bias in the XRP/USD crypto pair. The price broke through one of the support levels at $0.67 and is sitting just above the next level at $0.56.
On the other hand, an uptrend will take a considerable time to build up, seeing as the price is far away from the pivot point at $0.80.