XRP trades with modest losses below key $0.60 level

• XRP price dips in response to losses realized by traders since March 15.
• XRP price dropped toward $0.60, technical indicators suggest a potential further decline if this support breaks.
• Ripple gets an award as a cross-border and DeFi infrastructure platform. 

XRP price dropped closer to its psychologically important support level at $0.60 on Tuesday amidst a steep correction in the crypto ecosystem. Most of the top 30 cryptocurrencies by market capitalization have noted a decline in their prices on Tuesday. 

The XRP/USDT pair is down nearly 17% on the weekly timeframe, trading at $0.6021 at the time of writing. 

Also read: XRP price plummets to $0.67 as holders brace for SEC vs. Ripple lawsuit deadline

Daily digest market mover: XRP price declines as sellers realize losses

• XRP price extended its losses on Tuesday, plummeting to support at $0.60. The altcoin is suffering a correction as the crypto market faces headwinds with Bitcoin’s recent decline to around $64,000. 
• Data from on-chain intelligence tracker Santiment shows that XRP holders have realized $14.29 million in losses since March 15. The Network Realized Profit/Loss metric shows consistent dips, meaning the coin’s holders are, on average, realizing losses. This could imply that there are panic sell-offs and investor capitulation. Typically, realized losses following price drops are considered a clear buy signal for traders on the sidelines. 

Network Realized Profit/Loss. Source: Santiment 

• Ripple, one of the largest public holders of XRP, has an important deadline coming up in the Securities and Exchange Commission’s (SEC) lawsuit against the payment remittance firm on March 22. By then, the US financial regulator will present the remedies-related opening brief and pave the way for Ripple to prepare its opposing brief. 
• Ripple announced in an official tweet on Monday that it was recognized as the Best Cross-Border Payments Platform and Best DeFi Infrastructure Platform at the FinTech Breakthrough Award Winners for 2024.

Technical analysis: XRP price could extend losses beneath support at $0.60

The native token of the XRP Ledger is currently facing a correctionsince it hit its year-to-date high of $0.7440 on March 11. The altcoin is trading close to its psychologically important support level of $0.60. 

If losses persist, the asset is likely to decline below the $0.57 support, which is the next level to watch. The red bars on the Awesome Oscillator (AO) signal there is a lack of strength in the altcoin’s uptrend and a correction is likely, in line with the bearish thesis. 

Meanwhile, the Relative Strength Index (RSI) – a momentum indicator that measures the magnitude of recent price changes to help determine whether an asset is overbought or oversold – currently reads 48.43. The value is below the neutral zone of 50, if it continues to drop below 30, XRP will be oversold. In its decline below $0.57, XRP price could find support at $0.54, the 78.6% Fibonacci retracement level of the altcoin’s climb to its year-to-date peak of $0.74. 

XRP/USDT 1-day chart

A daily candlestick close above $0.61, the 50% Fibonacci retracement level, could invalidate the bearish thesis and see XRP price making a recovery towards the year-to-date high.