Trendline Reversal Could Dump XRP Back to $0.3admin
Published 2 hours ago
Multiple retests to the descending trendline indicate the Ripple (XRP) traders are actively selling at this resistance. Furthermore, the recent bullish reversal from the $0.3 support drives the altcoin to shared resistance of the downsloping trendline and the $0.375 mark. However, the higher price rejection attached to today’s daily candle suggests the continuation of the prevailing downtrend.
- XRP price shows long tail-rejection at $0.375 resistance
- The RSI slope struggles to rise above the neutral line
- The intraday trading volume in the XRP is $2 Billion, indicating a 131% gain.
From Mid-may to early June, the crypto market witnessed high volatility to which the XRP/USDT pair responded with a descending triangle pattern. Thus, on June 11th, the coin price breached the $0.375 neckline support and dropped to a low of $0.29.
While the world’s largest cryptocurrency shows sustainability above the $20000 mark, the XRP price bounced back from the $0.3 psychological support. The recovery rally surged 25% earlier today, challenging the combined resistance of $0.375 and descending trendline.
However, the high supply pressure at this resistance reverts the XRP price lower, displaying long-wick rejection. If the selling pressure persists and gives a candle closing below the resistance trendline, the altcoin will continue its downward spiral and threatens a $0.3 breakdown.
Furthermore, the coin traders can expect genuine recovery signs if the XRP price breaches the overhead trendline.
Following a bullish divergence, the daily-RSI slope shows a sharp rise towards the equilibrium. However, similar to price action, the indicator line struggles to surge above the 50% mark, indicating weakness in bullish commitment.
However, this recovery rally has reclaimed the 20-day EMA, which acted as a dynamic resistance since April. This breached resistance could flip into viable support and prevent sellers from revisiting $0.3.
- Resistance level: $0.40 and $0.45
- Support levels: $0.3 and $0.25
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Leave a Reply