XRP eyes $0.4 after a weekly 10% rally, but is a drop imminent? (Ripple price analysis)

After four consecutive weeks of price volatility with extremely low volatility, XRP finally started to rally and broke above the 50-day moving average. However, the uptrend stopped after reaching the 100-day moving average, and the price is now trying to cross it.

Technical Analysis

past Cheyenne

daily chart

The 50 day moving average has been price resistance for several months. However, the bulls have recently pushed the price above this range. This resulted in a rally towards the next critical resistance level, which is located at $0.4.

Currently, the cryptocurrency is facing a major resistance area, which includes the 100-day moving average and the fixed resistance level at $0.5, which also lines up with the upper trend line of the channel.

In the event of a breakout from this area, the market should expect a rally towards the next resistance level at $0.55. However, if the price does not exceed the above level, a short-term consolidation will be the most likely outcome.

Source: TradingView

4 hour chart

During the four-hour period, the price formed an ascending price channel pattern, and after it received support from the lower trend line, it started moving upwards. However, the $0.4 resistance level has paused the rally for now, consolidating the price in the short term.

If the cryptocurrency clears the $0.4 level, the middle trend line of the channel and the $0.5 levels will be the next hurdles to cross. On the other hand, if the $0.4 level rejects the price, the lower boundary of the channel will be the next important support level.

xrp_price_chart_1701232
Source: TradingView

After XRP Eyes $0.4 After Weekly 10% Increase, But Is Decline Imminent? (Ripple Price Analysis) appeared first on CryptoPotato.

Leave a Reply

Your email address will not be published. Required fields are marked *