David Tice, a former Prudent Bear Fund manager has recently mentioned that the crypto market is in a dangerous stage with XRP and other altcoins taking major hits. As the price of XRP is currently above a level where demand is very crucial and even a bounce from there failed to raise the price and such development points towards the fact that the buying pressure is comparatively weaker.
Earlier this year, the cryptocurrency market witnessed an impressive bull run, and after that things have gone bad as seen in the past three months. The price of the flagship cryptocurrency has been on a downtrend since then and it has not shown any significant run in recent times.
Citing the reasons why the crypto market and stock market are going to enter a dangerous phase, Tice said that the rise in debt and over-priced future earnings are the prime reasons.
Though a little recovery has been seen in the market following the COVID-19 scare, Tice thinks that “we are not out of the woods yet.”
In addition to this, he mentioned that when Bitcoin's price reached the mark of $60K, it placed the cryptocurrency in the overpriced zone.
Most of the cryptocurrencies in the market have plunged over 50% and some are nearing that level which ultimately means that the investors are pulling out their money from the market.
Looking at the price actions of Ripple, it can be seen that the price of XRP has slipped into the demand zone from $0.547 to $0.568 on July 17.
Moreover, the uptrend points towards insufficient buying pressure from the bulls.
Also, if in case the purchasers are unable to save XRP price here, the next support levels at $0.509 and $0.496 are most likely to be touched.