Rippleโs XRPย Rippleย (XRP) Price Breaks Below Crucial Support Level
If youโve been following Rippleโs XRPย Rippleย (XRP) price, you may have noticed that it recently closed below a key horizontal area. This has raised concerns between investors as it suggests a bearish trend. In order for the price to turnย positiveย trend again, it will need to reclaim this levelย ofย support and start moving upwards.
XRPย Rippleย (XRP) Price Analysis: Bearish Outlook
Andย once we analyze the XRPย Rippleย (XRP) price on a weekly timeframe, we see plentyย of bearish indicators. Firstly, the price has been declining since reaching its yearly high of $0.93 in July. It was rejected at the 0.382 Fib retracement resistance level, signaling that sellers have taken control. Inย addition, XRPย Rippleย (XRP) fell below the long-term levelย ofย support at $0.55, which was expected to provide a strong foundation. If the downward movement continues, the next levelย ofย support is at $0.30, representing a 40% fall from theย present price. Nonetheless, reclaiming the $0.55 area could lead to an 85% price increase towards the yearly high.
RSI Turns Bearish, Indicating a Continuing Downward Trend
Traders often use the Relative Strength Index (RSI) to assess market conditions. A reading over 50 indicates a positiveย trend trend, while a reading below 50 suggests a bearish trend. Whenย itย comesย to XRPย Rippleย (XRP), the RSI hasย dropped below 50 and broken its ascending support line, confirming a bearish trend. These indicators support the notion that the downward movement will persist.
Can Bullish Divergence Reverse the Trend?
The daily timeframe readings align with the weekly analysis, as XRPย Rippleย (XRP) has shown deviations over and below the $0.54 area. These deviations are typically seen as bearish signals. Furthermore, the price has tested this area as resistance multiple times before continuing its decline. If the price keeps sliding, the nearest levelย ofย support is at $0.40, where an ascending support line has been in place since June 2022. The daily RSI is likewise below 50 and sliding, indicating a bearish trend. Nonetheless, thereย is some positiveย trend divergence present, which could potentially precede a trend reversal. Nevertheless, it remains to be seen if this divergence is enough to override the other bearish signals.
Hot Take: Rippleโs Legal Battle and Probable Disruption
Aside from the technical analysis, itโs worth keepingย inย mindย that Ripple has recently objected to the Unitedย States Securities and Exchange Commissionโs appeal. Ripple argues that the SEC has failed to meet the necessary conditions for certification. Inย addition, Panos Mekras, the founder of two cryptocurrency corporations, believes that XRPย Rippleย (XRP) has theย capacity to disrupt the banking industry.
Price Prediction: Support at $0.40, Probable for Bullish Reversal
Inย termsย ofย price prediction, it is likely that XRPย Rippleย (XRP) will fall to the nearest levelย ofย support at $0.40. Nonetheless, if the price manages to reclaim the $0.55 area, it would suggest a toย continue of the positiveย trend trend. In that case, we could see an 85% price increase, potentially reaching a new yearly high.
Bernard Nicolai emerges as a beacon of wisdom, seamlessly harmonizing the roles of crypto analyst, dedicated researcher, and editorial virtuoso. Within the labyrinth of digital assets, Bernard’s insights echo like a resonant chord, touching the minds of seekers with diverse curiosities. His talent for deciphering the most intricate strands of crypto intricacies seamlessly aligns with his editorial finesse, transforming complexity into a captivating narrative of comprehension.
