Ravencoin price has been in a strong bearish trend in the past few days as the recent momentum. The RVN coin crashed to a low of $0.040, which was the lowest level since September 9 of this year. This price was about 48% below the highest level this year, giving it a market cap of over $433 million.
Why is RVN crashing?
Ravencoin price is crashing as investors focus shift their attention from the recently concluded Ethereum Merge. This is a sharp reversal from what happened recently when the coin emerged as an alternative to Ethereum as it shifted into a proof-of-stake network.
Therefore, Ravencoin price is falling as investors take profit since the coin rose by more than 186% from the lowest level in August. Historically, financial assets tend to have a strong pullback after being in a major rally for a while. Also, a situation known as buying the rumour and selling the news happened.
Also, the retreat is in line with the ongoing cryptocurrency meltdown considering that most coins dropped. Ethereum dropped to $1,300 while the total market cap of all cryptocurrencies retreated to over $910 billion.
Ravencoin price slipped as its hashrate stabilized. According to 2Miners, Ravencoin has a hashrate of 18.30 TH/s, which is lower than last week’s high of 22.63 TH/s. It has been moving sideways recently, which is a reversal from the sharp rally it experienced in the past few days. A higher hash rate is usually a positive sign that there is demand within the network.
Ravencoin price prediction
The four-hour chart shows that the RVN price has been in a strong bearish trend in the past few days. It has fallen by almost 50% from the highest level last week. It has fallen below all moving averages and dropped below the important support at $0.042, which was the highest level on August 11. At the same time, the Relative Strength Index has moved close to the oversold level.
Therefore, the bearish trend will remain as long as it is below the 25-day and 50-day moving averages. If this happens, the next reference level of the coin is at $0.034. A move above the resistance point at $0.045 will invalidate the bearish view.