XRP’s Bullish Momentum Fading, Will Bears Break Below $0.40? (Ripple Price Analysis)

It seems that the XRP has been trapped in a range between $0.32 and $0.44 for several weeks. Most recently, the uptrend, which began at $0.32, stalled after hitting a resistance level.

Technical Analysis

By Shayan

The Daily Chart

Last week, XRP’s price printed a significant bullish sign by claiming the 100-day and 200-day moving averages at roughly $0.39. However, the rally was stopped after hitting the multi-month descending trendline as well as the $0.44 crucial resistance level.

Meanwhile, the 100-day moving average has recently dropped below the 200-day moving average, a well-known bearish sign for the price in the mid-term. Presently, the cryptocurrency is consolidating in a tight range between the 100-day and 200-day moving averages at $0.39 and the descending trendline roughly at $0.41. The price will probably exit this tight price zone in the upcoming days, and the breakout’s direction will determine Ripple’s next move.

Source: TradingView

The 4-Hour Chart

In the 4-hour timeframe, the weakening bullish momentum is evident as the rally’s pace has slowed down, resulting in a rather choppy price action. After reaching the resistance zone of $0.44, the cryptocurrency was rejected and entered a consolidation stage.

Related:  Investor Who Called 2022 Crypto Bottom Says Beautiful Set Up Forming for Bitcoin (BTC)

Simultaneously, XRP also fell below the short-term ascending trendline, which has been serving great support to the price during the recent rally, indicating that a short-term correction may be possible. Hence, considering all of the above, the price might face a consolidation correction phase in the mid-term run. This will end only if Ripple exits the mentioned price range with sufficient momentum.

Source: TradingView

Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).

PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to receive up to $7,000 on your deposits.

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.

Source link

Share this article: