The XRP currency has faced a slight decline in recent days, having lost the $3 support level. Now, the altcoin is struggling to regain this level.
The next stage of recovery will heavily depend on investor sentiment, as their actions can determine whether XRP will continue to struggle or see a rebound.
XRP Investors are Selling
The Chaikin Money Flow (CMF) indicator recently showed a sharp decline, indicating a decrease in investor confidence. This drop suggests that investors are pulling money out of XRP, reflecting increasing doubts about the price trajectory of the altcoin. The sharp decline in CMF is concerning, as it indicates that outflows may continue unless there is a change in sentiment.
This uncertainty contributes to the recent downward pressure on XRP’s price. As outflows continue to increase, regaining key levels becomes more challenging for XRP, potentially leading to further declines.
