XRP, On-chain indicators warn of further decline amid sharp drop... Technical patterns also indicate negative signals

As XRP's network activity slows significantly, concerns about the possibility of a price decline are growing in the market. According to the cryptocurrency media Pinbold's report on April 20 (local time), the number of new XRP wallets has nearly halved in the past month. The number of new wallets, which reached 5,200 as of March 22, decreased by 44% to 2,900 on April 17. This suggests that investor interest and demand have noticeably weakened.

Warning signs have also been detected on the technical side. According to analyst Ali Martinez, XRP is currently forming a typical 'head and shoulders' pattern of a downward reversal and has already broken below the 2.05 dollar neckline support and completed a retest. If this pattern operates as is, there is a forecast that XRP could fall an additional 30% to the range of 1.30-1.40 dollars. Along with the increase in short positions, some analysts pointed out that securing support near 1.60 dollars is urgent.

Meanwhile, large-scale movements of whale investors are also being detected. Pinbold interpreted this movement as a preemptive response to the conclusion phase of the lawsuit between SEC and Ripple. This can be seen as an intention to adjust positions as regulatory risks are gradually resolved.

Currently, XRP is trading at around 2.04 dollars, having fallen more than 7% in the past week. The Fear and Greed Index, which indicates market sentiment, remains in the ‘fear’ zone at 37 and continues to trade below the 50-day simple moving average. This suggests that the short-term bearish trend may continue, but conversely, there is also an analysis that the 200-day moving average is still located above, leaving room for a medium to long-term rebound.

Overall, XRP is under triple pressure from weakening on-chain activity, technical decline signals, and diminished investment sentiment, and there is a growing voice that cautious approach rather than active buying is needed in the current area.