CNBC Warns Bitcoin Could Drop to Low $40Ks: How Low Could XRP Go?

XRP and Bitcoin could be revisiting their 2024 lows in the coming days as the bear market bites on.

In a CNBC interview on Friday, Fairlead Strategies founder Katie Stockton argued Bitcoin could fall to the low $40,000 range if the current support level breaks. This potential BTC fall could weigh heavily on the broader market, including altcoins like XRP.

Notably, Stockton remains bullish on Bitcoin over the long term. However, she stressed that losing current support could trigger another wave of selling. 

CNBC’s Katie Stockton Sees Risk of a Deeper Pullback

Speaking on CNBC, Stockton said the $59,000-$60,000 area remains a critical support zone. Bitcoin has tested this range several times in recent weeks.

She noted that Bitcoin’s price has already fallen about 30% after being rejected at its 200-day moving average, which continues to act as strong resistance. If the current Fibonacci retracement support fails, the next major technical support sits in the “low $40,000s,” she said.

Despite the near-term bearish outlook, Stockton said she remains a “very, very long-term” Bitcoin bull. She added that Bitcoin is now in a long-term oversold condition, which has historically been followed by price stabilization and strong relief rallies.

How Far Could XRP Fall?

At the time of writing, Bitcoin is trading around $60,270, while XRP is changing hands near $1.06. A drop from around $60,000 to the low $40,000s would represent a decline of roughly 30% to 33% for Bitcoin. 

Historically, XRP has amplified Bitcoin’s losses during market-wide sell-offs due to its higher volatility. If XRP simply matches Bitcoin’s percentage decline, its price could fall to around $0.71-$0.74.

However, XRP’s price has sometimes dropped 1.3 to 1.5 times more than Bitcoin during major capitulation events. If that pattern repeats, XRP could retreat to the $0.55-$0.65 range. That would bring it back into the psychologically important $0.50 zone. Notably, XRP last traded at this level in 2024.

Meanwhile, a more conservative view suggests XRP could fall into the $0.70-$0.95 range if Bitcoin reaches the low $40,000s. In a more severe market capitulation, historical price relationships suggest XRP could briefly test the $0.40 region. 

XRP May Not Follow Bitcoin Exactly

While XRP generally moves in the same direction as Bitcoin, the relationship is not always consistent. XRP’s correlation with Bitcoin has historically been weaker than that of some other large altcoins.

This means XRP can sometimes outperform or underperform Bitcoin, especially when XRP-specific developments drive the market. 

As a result, a Bitcoin drop into the low $40,000s would increase downside risk for XRP. Yet the magnitude of any decline would depend on overall market sentiment and XRP-specific catalysts.