XRP, the cryptocurrency focused on payments, had to face a price drop of 25% this month, falling to $ 2.28 compared to its January 3.40 peak, according to TradingView and Coindesk. However, Fibonacci’s retracement analysis suggests that the token is far from outside. The level of retracement of 38.2%, a key indicator for the continuation of the trend, indicates the potential support for the next XRP rally.
Historically, assets in an upward trend often go back to fibonacci levels of 38.2%, 50% or 61.8% before resuming their ascent. This suggests that XRP could see recovery, especially with positive news on the horizon. The Brazilian securities regulator recently recorded the country’s first XRP ETF, the Hashdex Nasdaq XRP Fund, entering its pre-operational phase. Meanwhile, American regulators examine requests from ETF XRP, which could stimulate institutional adoption if it is approved.
On the other hand, the prospects for Dogecoin seems to be lower. The even cryptocurrency dropped below $ 0.21, retraced more than 70% of its rally more than $ 0.10 to $ 0.48 from December. In the technical analysis, a retracement beyond 61.8% often signals the end of a primary trend, which raises concerns concerning other losses.
With XRP, he gained institutional interest and find support at key technical levels, he can have room to bounce back. However, Dogecoin’s deep retirement suggests a more difficult road to come. Traders will closely look at ETF developments and market trends to assess the next movement.