After Breaking Below $2.00, XRP Is Now Targeting the $1.79 Support Level

For the second time in February, the asset has broken through this psychological support level

For the second time this month, and the third time this year, the asset has broken through a psychological support level as

Relying on data from HitBTC, it was determined that XRP is now being valued at $2.02. Over the last 24 hours, the cryptocurrency has experienced a decline of almost 7%, attributing this to increased selling pressure and heightened volatility. This most recent decline might be an instance of XRP filling the gap in its price action, which happens frequently when an asset returns to prior support areas before making another move attempt.

But the way XRP fell indicates otherwise — it was a steep decline more like a knife down event brought on by aggressive selling rather than a gradual retracement. After XRP was unable to maintain its hold above important moving averages such as the 50-day EMA, it broke below $2.00.

The market's general pessimism has accelerated XRP's decline and brought it closer to its next significant support level of $1.79. Should XRP swiftly recover $2.20, this decline might be interpreted as a brief sweep of liquidity, opening the door for a possible recovery toward $2.50.

What XRP does next will be important because of the rising volatility. A reversal may occur if buyers intervene forcefully. But before there is a significant recovery, XRP may experience more losses if the bearish trend persists.

Bitcoin's cycle hits new lows

The recent collapse of Bitcoin (BTC) has officially brought what is now being called the weakest bull market in its history to an end.

As Bitcoin fell below the crucial $80,000 support level and wiped out a large sum of its prior gains, it also lost the 200-day EMA, signaling potential problems for the cryptocurrency and raising concerns about a prolonged bearish cycle.

Over the last day, Bitcoin's price experienced a decline of 6.46%, and it is now valued at $79,168, which is a significant distance from its long-term moving averages. The breach of the 200-day EMA is a crucial bearish signal, especially since this level has been a reliable support during bullish periods in the past. With the loss of this support, the market sentiment has changed drastically, and many believe that the worst is yet to come.

A portion of Bitcoin's prior explosive rise has been undone by the swift decline, which has also brought billions of dollars in losses to the market and forced traders to assume defensive positions. The rapid decline in Bitcoin can be attributed to a shift in momentum toward a longer correction and surrender from overly leveraged positions.

If Bitcoin is unable to recover the $80,000 mark, further downward movement is anticipated, with the next major support level located at $75,000. In the event of panic-selling, the price may drop as low as $70,000. In the neutral case, Bitcoin forms a temporary bottom and consolidates between $78,000 and $85,000 before making an effort to regain lost ground.

However, if the bulls are lucky and Bitcoin quickly recovers $85,000 and rises above the 200-day EMA, it could reignite bullish momentum and avert a more severe correction. Now that the bull market has been successfully broken, Bitcoin runs the risk of going into a protracted decline unless it can make a sizable comeback. Expect increased volatility from the cryptocurrency in the coming weeks as traders react to this development.

Crucial support level for Ethereum

A crucial $2,000 support level is what Ethereum is clinging to, and this will decide the asset's short-term destiny.

ETH is currently being valued at $2,110 following a vicious daily decline of 8.44%, and it is clear that the cryptocurrency is still facing a large amount of selling pressure. A clear breakdown below $2,000 would greatly exacerbate the already pessimistic market sentiment.

The decline in Ethereum can be attributed in part to the fact that it has been steadily leaving the ecosystem over the last few months, which has led to a decrease in liquidity and investor confidence. With this in another instance, Ethereum appears to be approaching the last line of defense at the $2,000 mark before a potentially deeper collapse. If this level of support is broken, it might set the stage for even more volatility.

If there is a breach of $2,000, panic-selling would follow, pushing ETH down toward lower support levels of $1,900 or even $1,750. A move like that would worsen the current problems in the ecosystem by increasing capital flight from Ethereum-based projects. If it can hold above $2,000 and perform a bounce, Ethereum might be able to regain $2,200 and even move toward $2