XRP Has Broken Below Its Long Standing Support, What’s Next?
XRP flashed lateral price movement at the time of writing. The coin register some gains over the last 24 hours however, it was quite minor. Bulls are not completely back in the market yet. For bulls to be back in the market, it is essential for XRP to move above the $0.60 mark.
Technical outlook of XRP hasn’t completely pointed towards a recovery because the bears are still in charge of the price. The one day chart of the XRP has continued to depict bearishness on the chart. Over the last week, XRP fell by almost 7%.
Although the coin has printed a symmetrical pattern on the chart, which also means that XRP has a chance of moving on the upside it is uncertain if the altcoin will be able to hold onto its current price action.
This directional breakout from the symmetrical triangle could either make the altcoin trade towards the north or towards the south.
XRP Price Analysis: One Day Chart
The altcoin was trading at $0.41 on the one day chart. XRP was also trading beneath its long standing support line of $0.42. The asset hadn’t gone below the aforementioned price level in almost over a year. A push below the current price mark will make the coin trade beneath the $0.30.
A break below the $0.30 price mark could push XRP near the $0.24 price level. Since the coin registered a small symmetrical triangle and it can be so that XRP can either go up or down from here, the overhead resistance for XRP was at $0.48.
For bearish thesis to be invalidated the coin needs to trade above the $0.56 resistance mark.
XRP recovered on the chart and the coin moved away from the oversold region. The Relative Strength Index was above the 20-mark, which meant that the coin wasn’t undervalued. Buying strength came back in the market but the altcoin was still in the grasps of the sellers.
If continued selling pressure remains then the coin might trade close to the immediate resistance mark. The asset was also below the 20-SMA line and this is in accordance with sellers being in control. This reading meant that sellers were responsible for the price momentum in the market.
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Bollinger Bands are used to depict the price volatility of the asset. On the one day chart, Bollinger Bands were seen wide open. This reading meant that the coin was not about to witness immediate price fluctuations in the market.
It can be so that the coin might continue consolidating over the next trading sessions. Awesome Oscillator depicted green signal bars as price momentum was slowly registering a bullish change.
The green signal bars also mean that there is a buy signal in the market which correlates to positivity in terms of price action. If buyers act on it then the coin might manage to move upwards but it is still uncertain if that would be the case.
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