U.Today - A recent alert from 100eyes Crypto Scanner a critical moment for Ripple-affiliated XRP. The controversial token is approaching what technical analysts refer to as "horizontal support."
This key technical level could prove pivotal for the digital asset's short-term price movements.
Understanding horizontal support
Horizontal support is a term used in technical analysis that refers to a specific price level at which a cryptocurrency, like XRP, has shown difficulty falling below in the past.It is the point where buying interest is sufficiently strong to prevent the price from declining further.
The level, often visualized as a horizontal line on price charts, represents a psychological barrier for the market. In XRP's case, this support is near the $0.56 mark, a level where the cryptocurrency has previously stabilized and rebounded.
Traders often watch these levels closely since a break below support could lead to further selling pressure, while a bounce from this level could indicate a potential recovery.
A day in the red
Over the last 24 hours, XRP has declined by 3.9%, according to CoinGecko . For comparison, Bitcoin (BTC), the leading cryptocurrency by market cap, has maintained relative stability with a modest 1.6% decline over the past day, while Ethereum (ETH) has slid by 2.9%.Other altcoins have shown divergent paths, with Solana (SOL) dropping by 5.9% in the past 24 hours, yet boasting a strong 7.7% increase over the week.
Notably, Cardano (ADA) has experienced a 7.4% decrease on the day, despite leading with an 11.6% surge over the past seven days.