- XRP/USD is likely to revamp the downtrend in the near-term.
- A break below the neckline of the inverted shoulder pattern could dip below $0.2.
The $18 billon cryptocurrency in the market currently in the 3rd position has been trading a relatively higher levels in comparison the lows below $0.25 in September. Ripple (XRP) has for some time now defied the consolidation that is widespread in the market especially for the top 20 digital assets. The crypto’s bullish moves came close to trading at $0.70 before trimming gains. The downside has been protected at $0.38 according to the daily chart.
In the meantime, the 200SMA is above the shorter term 100SMA, which shows that the path of least hurdles is to the downside. This also means that XRP/USD is likely to revamp the downtrend in the near-term. The price is trading marginally above the 100 simple moving average dynamic inflection point to signal that a slight bullish move is in order. However, the swing to the upside is likely to hit a dead end at the 200SMA currently at $0.492.
In case this happens, Ripple could correct lower towards the above-mentioned support at $0.38. Besides, a break below the neckline of the inverted shoulder pattern will rally the bears as the price dips below $0.2.
The stochastic oscillator is retreating to the south which signals the increasing bear entries, although the overbought conditions are still at bay. Likewise, the MACD is holding tight to the mean line (0.0) unable to move north into the positive region.
In general, Ripple does not have a lot going on in terms of support. The hype surrounding xRapid launch has fizzled out leaving the price action to depend solely on demand and supply. The consolidation in the market is good for the cryptocurrency industry but the situation is hurting the speculators.
XRP/USD 240′ chart
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