- Ripple retreats from the weekly high; breaks trendline support and 50 SMA support.
- Despite the correction, the slightly positive technical picture shows the bulls’ ability to defend key support levels.
Cryptocurrencies have remained depressed after the recovery witnessed earlier in the week ground to a halt. Ripple, one of the biggest gainers in the brief rally broke several barriers from the support at $0.24 to highs marginally above $0.28. However, retraction started on its failure to sustain gains towards $0.30.
Meanwhile, Ripple has corrected below the ascending trendline support as well as the Simple Moving Average (SMA) on the one-hour chart. However, with the gap between the 50 SMA at $0.2761 and the 100 SMA at $0.2650 is increasing, this means that the buyers have the energy to defend the tentative support area at $0.27.
The Relative Strength Index (RSI) continues to form a lower high pattern. The rejection from the overbought has given the bears momentum to cause sleepless nights in the bullish camp. Other support areas to watch out for in the near-term are $0.2550, $0.2500 and $0.2400.
XRP/USD hourly chart