The recent market movements have subjected Ripple’s price to increased selling pressure, precipitating a descent below the significant 100-day and 200-day moving averages and concluding a pullback.
Despite this, indications point toward a sustained downward trajectory in the mid-term.
By Shayan
Ripple Price Analysis: The Daily Chart
A thorough examination of the daily chart unveils a notable decline in Ripple’s price, breaching its multi-month sideways consolidation range and successfully completing a pullback. Intensified selling pressure also led to the breaking of a substantial support zone, encompassing the 100 and 200-day moving averages, prompting concerns about Ripple’s mid-term direction.
Considering the prevailing price action and market conditions, the likelihood of the recent descent persisting is high, with the aim of breaching the significant multi-month support region at $0.48. A successful break below this critical range could potentially set Ripple on a prolonged downward trajectory, instigating fear and uncertainty in the market.
The 4-Hour Chart
A closer analysis of the 4-hour chart reveals an impulsive breach below the lower boundary of the multi-week sideways wedge, underscoring the dominance of sellers in the market. However, the price has reached a pivotal support region determined by the multi-month ascending trendline.
This trendline has proven to be a robust support, halting multiple downward attempts. Presently, as the price intersects this crucial trendline and the static support zone at $0.52, there is a notable potential for a reversal, leading to a sideways consolidation phase.
Nonetheless, given the prevailing strength of sellers in the current market conditions, the possibility of a break below this crucial support region persists, potentially prolonging the ongoing downward trend. In such a scenario, the next critical support level for the price would be at $0.48.
Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).
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.