- Ripple price retreats toward a two-week low after stalling the seven-day losing streak.
- Buzz surrounding Franklin Templeton ETF filling, Market Structure Bill triggered XRP’s corrective bounce from a multi-day low.
- Cautious mood ahead of FOMC Minutes and Nvidia earnings join bearish technical clues to recall Ripple sellers.
- XRP bears remain in the driver’s seat despite ETF, crypto market news, and defending a broad downside bias.
Ripple (XRP) price drops over 3.0% to $2.14 early Wednesday, reversing the previous day’s rebound from a two-week low. In doing so, the altcoin faces a four-week downtrend, as well as a second consecutive monthly fall, as the crypto market contrasts with broad risk aversion ahead of the key U.S. data.
Among the key positives, chatter surrounding the global asset manager Franklin Templeton’s filing for the XRP Exchange-Traded Fund (ETF) and progress on the U.S. Market Structure Bill gained major attention.
Alternatively, cautious mood ahead of Wednesday’s key U.S. data and the Federal Reserve’s (Fed) monetary policy meeting minutes, as well as the third quarter (Q3) earnings from the U.S. chipmaker Nvidia, join the hawkish Fed bias to weigh on the Ripple price.
Notably, a record-breaking first day of trading volume in the first-ever spot XRP ETF (ticker: XRPC) fails to overcome Ripple’s bearish price action.
That said, Ripple’s daily trading volume drops for the second consecutive day, while the market cap slides to a fresh low since early July. According to Santiment, XRP’s daily trading volume eases to $4.71 billion, while the market cap hits a 4.5-month low of $128.57 billion by press time.
Franklin Templeton ETF Buzz
On Tuesday, Ripple price stalled the longest losing streak 2023 amid hopes of imminent launch of Franklin Templeton and Bitwise XRP ETFs.
On the same line, Santiment also cites the retail trader’s selling as a catalyst to trigger Ripple’s rebound on Tuesday. The market intelligence platform said that XRP wallets with less than 100 XRP have dumped 1.38% of holdings since the start of November.
Franklin Templeton cleared the final step in launching the XRP ETF as it filed an 8-A to launch the Franklin XRP ETF (XRPZ), which in turn triggered the buzz around the XRPZ launch on Wednesday, November 19. It’s worth observing that market players expect significant demand for the XRPZ than the Canary XRP ETF (XRPC), considering Franklin Templeton’s substantial $1.5 trillion in assets under management (AUM).
Market Structure Bill News
The legislative updates from Capitol Hill also fuelled the Ripple price on Tuesday. That said, Crypto In America host Eleanor Terrett quoted Senator Tim Scott to mention that the Market Structure Bill will be up for markups and votes in both Banking and AG committees next month, with legislation expected on the Senate floor early next year.
It should be observed that the Ripple Price rallied over 14% on July 17 after the U.S. House of Representatives passed the Market Structure Bill to the Senate.
The Risk Catalysts
While the ETF buzz and crypto legislation progress helped the XRP stall the biggest downtrend since 2023, the risk-off mood exerts downside pressure on the altcoin. Among the key catalysts, hawkish hopes from the U.S. Federal Reserve (Fed) ahead of today’s Federal Open Market Committee (FOMC) Monetary Policy Meeting Minutes gain major attention. Also weighing on the XRP could be the anxiety among the technology share traders ahead of the third quarter (Q3) earnings from the leading global chipmaker Nvidia.
Also read: Nvidia and the AI Bubble Face Critical Test Ahead of Q3 Earnings Report
Technical Analysis
On the technical front, Ripple price remains on the seller’s radar with a sustained trading beneath the key Exponential Moving Averages (EMAs) amid bearish signals from the Directional Movement Index (DMI) momentum indicator.
Ripple Price: Daily Chart Suggests Slow Downturn
XRP reverses Tuesday’s corrective bounce from the lower Bollinger Band (BB) and 23.6% Fibonacci retracement of its July-October downturn amid bearish DMI signals. In doing so, the altcoin extends the early November U-turn from the 50-day and 200-day EMA, while staying beneath a descending resistance line from early August.
That said, the DMI’s Average Directional Index (ADX, red) line is at the top, followed by the Downmove (D-, Orange) line, with the ADX staying above the 25.00 neutral level and D- is around 22.00, suggesting downside momentum. Further, the Upmove (D+, Blue) line is at the bottom, with the 12.00 print, citing very weak upside bias.
With this, the XRP price remains on the bear’s radar as long as the $2.56 resistance confluence holds, comprising the upper BB and the 200-day EMA.
Before that, the middle BB and the 50-day EMA, respectively near $2.32 and $2.47, can test the buyers.
Notably, the XRP’s upside past $2.56 could aim for a 3.5-month-old descending resistance line, close to $2.85 by press time, a break of which could restore bullish bias surrounding the altcoin, highlighting October’s peak of $3.10 and 78.6% Fibonacci ratio near $3.22.
Alternatively, the lower BB joins the 23.6% Fibonacci retracement level to highlight $2.08-$2.07 as the short-term key support.
Following that, the $2.00 threshold, June’s bottom of $1.91, and October’s low of $1.58 could attract the sellers.
Conclusion
Ripple price remains on the back foot even as the ETF and the crypto regulation buzz offer an intermediate bounce, suggesting the need for a stronger catalyst, as well as a clear breakout of $2.56 resistance confluence, to recall the buyers.
Also read: Cryptocurrency Weekly Price Prediction: BTC, ETH, and XRP remained Red on Market Fears
