Outside Source
Ripple’s price experienced part of the turbulence that the crypto market went through during the past 48 hours.
At the time of this writing, XRP is trading flat on the day at $0.48, a price point that has provoked temporary equilibrium over the past few days.
Is the XRP Market Fragile?
One thing to observe during times of increased volatility is the market depth.
This is a metric that indicates how much buying or selling pressure is necessary to move the price in a certain direction and by how much. It’s also based on numerous factors, such as the depth of the order book, which varies from one platform to another.
Usually, those exchanges that boast a higher trading volume and are more liquid would carry higher market depth.
For example, on Binance, it would take approximately $1.44 million worth of selling orders to push the price of XRP by a mere 2%. On the other hand, $1.2M is needed to increase the price by 2%. This is for the XRP/USDT trading pair, according to CoinMarketCap.
On Coinbase, for instance, where the volume is considerably less in comparison, only $850K would produce a 2% move in the negative direction.
This is how the market depth looks on the major exchanges:
XRP Price Outlook
As CryptoPotato reported earlier, the XRP price was unable to push above $0.54, and that level has become a major obstacle for the bulls.
Since then, the price has been slowly trending toward the next important support level at $0.43.
It’s also worth noting that the bears have managed to manifest a bearish cross on the monthly timeframe, which indicates a considerable change of the dynamics of the price action.
The monthly close is in a few days and it’s important for buyers to step in if they were to have any chances of pushing XRP back above $0.50 and beyond.
This article first appeared at CryptoPotato
