- XRP retraced from early Asian highs, capped by $0.2750.
- The market is driven by FUD and panic.
XRP is changing hands at $0.2710 at the time of writing. The third largest digital coin has lost over 3% on a daily basis, though it is mostly unchanged since the beginning of Tuesday. XRP has a market value of $10.7B and an average daily trading volume $201M.
Ripple’s cryptocurrency has been moving in lockstep with other digital coins, being unresponsive to positive news and fundamental developments. The market is gripped by FUD (which stands for Fear, Uncertainty, Doubt) and tends to overreact to negative information, even if it is proved to be fake. That’s what happened with the announcement that Goldman put off its plans to create cryptocurrency trading desk.
XRP’s technical picture
Looking technically, XRP/USD is capped by SMA50 (1-hour) at $0.2750. The price attempted a recovery during early Asian hours, but was stopped by fresh selling orders located under $0.2750 handle. If it is broken, the upside may be extended towards $0.28 and $0.2819 (SMA100, 1-hour); however, this development looks unlikely.
On the downside, the support is created by psychological $0.2700, followed by Monday’s low at $0.2590.
XRP/USD, 1-hour chart