XRP is hanging on to an important price level, while Dogecoin’s rally seems to be over. XRP has dropped 25% this month, from $3.40 in mid-January to $2.28, according to CoinMarketCap.
In this concerning market condition where bitcoin is leading the drops, XRP has somehow managed to hold the price above $2. While this support may not hold for long if the crypto market starts a new sell-off tomorrow when Asian trading hours begin.Â
It sounds bad, but there’s still hope as XRP holds above the 38.2% Fibonacci retracement level, a key area where prices often bounce back.
Dogecoin, on the other hand, isn’t looking as strong. DOGE has dipped beneath the 61.8% Fibonacci retracement level, one that traders understand to be a point of bearish reversal. DOGE had a huge rally, jumping from $0.10 in October to $0.484 in December, but it has now dropped below $0.21, losing over 70% of its gains.
Fibonacci retracement is a tool used by traders to predict the extent to which prices are likely to pull back before continuing their trend.
In short, XRP is doing well at the moment, even though it is falling, and Dogecoin seems to be losing its momentum.
Also Read: Bitcoin Crash to $87k: Is Now the Best Time to Buy BTC?
