XRP’s Price Descending Despite Ripple’s Update

XRP has continued its downtrend despite Ripple rolling out a major software upgrade on Wednesday

Fundamentals and past price performance

XRP has continued its price descent despite the fact that RippleX rolled out a network upgrade that “provides a significant boost to software efficiency.” On top of that, Ripple partnered with Energy Web to make all blockchains NetZero by 2030 — starting with XRP.

RippleX has announced the release of version 1.7 of the #XRP Ledger in a Feb. 24 blog post. The new implementation provides a significant boost to the software’s efficiency. On top of that, it makes the network more secure and decentralized.   https://t.co/PMvRI5oRqv

— JackTheRippler🤫🐻🏦 (@RippleXrpie) February 25, 2021

Taking a look at its performance, XRP has posted week-over-week losses of 20.31%. While this number was greater than BTC’s 11.72% loss, it outperformed ETH’s 24.35% loss. XRP is currently the 7th-largest cryptocurrency by market cap, boasting a value of $19.40 billion.

At the time of writing, XRP is trading for $0.425, being 6.21% in the red when compared to its previous month’s value.

XRP/USD daily chart price analysis

XRP has, after trading in an uptrend for the first half of February, started retracing and moving back down. The cryptocurrency held strong above the 50% Fib retracement level of $0.48 for some time, but eventually failed to hold the line and dipped towards lower levels.

While it is holding above the 38.2% Fib retracement quite well, for now, XRP will eventually get pressured by the daily averages that stand above it. The added pressure to the upside will most probably cause yet another pullback, this time towards $0.31.

The technical overview shows that XRP’s RSI indicator on the daily timeframe is on a slow descent ever since 13 February, with its current value sitting at 43.96.

XRP/USD hourly chart price analysis

Zooming in to the hourly timeframe, we can see XRP’s slow descent that started by XRP dropping below $0.48 on Wednesday.

XRP is currently trying to remain above its 38.2% Fib retracement level of 0.40. However, its upside is heavily guarded by both the 21-hour and 50-hour EMAs, which have proven to be respected each time XRP’s price collided with them.