Ripple price analysis: XRP rises 8%, but bears stop the march to $1

TL;DR

• Ripple price analysis shows a consolidating stance with minor bounce back
• XRP/USD a high of $0.8710 amid a thin volume trading session
• Ripple has critical support at $0.8200 and then at $0.7500 on the hourly charts
• Bulls will likely face stiff resistance at $0.89, where selling pressure can increase

Ripple price is facing consolidation after days of heavy selling due to broader crypto negative sentiment. As new normal kicks in, most altcoins are looking for a stable price movement zone. The XRP/USD is trading tight within the Bollinger Bands between $1.110 to $0.6850. However, the price is well past the danger mark at $0.7500, where the bulls defended the support strongly.

On long-term charts, the XRP is undergoing gradual decline due to the past week’s sharp fall. The minor 8 percent rise today will not dent the bearish sentiment in the market. At present, the $0.85 high beckons the bulls. Looking ahead, the Ripple price analysis shows that the pair will face minor resistance at $0.89, which represents the .236 Fibonacci resistance level.

The RSI is starting to face upwards as the pair begins to emerge out of the oversold conditions. Most other technical indicators also signal bearish to a neutral stance where the pair is uncertain. As the bearish momentum eases, the Ripple price analysis will become clearer for the traders.

Ripple price movement in the last 24 hours: Major support at $0.7500 gives hope

The bulls have managed to stage a strong comeback from the .786 Fibonacci support at the $0.7500 level. Now, the pair is managing to hold above the $0.8200 level with decent volumes to begin the new week. The disastrous last week saw the pair cross many support levels, which were left untested on its journey upwards.

As per Ripple price analysis, the pair is trading underneath the 50-day moving average, which does not bode well for the bulls. The rising trend line is threatening any further rise in the price. The descending price channel does not seem to be facing upwards on the hourly charts despite the slight 8 percent rise today. The bulls must not expect any drastic rise in the prices resulting in a recovery rally.

Unlike some other altcoins, XRP has not been able to reduce the losses. It has lost $1 level and continues to remain near lower support levels at $0.8000. According to Ripple price analysis, the upper resistance at $0.96 will present more selling pressure where the bears will attempt to push the prices downward towards $0.7500.

XRP/USD 4-hour chart: Bulls focus on $0.9500

Today’s bounce takes the XRP/USD pair towards $0.8850 and the middle of the Bollinger Bands. Currently, the buying is muted, and the pair is struggling to regain the $1 level. If the price touches the $1 level and closes near $1.0500, the bulls will have a fair chance at recovery. The RSI at 45 is neutral but is increasingly looking upwards. Also, the MACD shows a minor cross-over, which can mean a good omen on the small timeframe charts.

Other technical indicators are in the neutral zone and are not sending any clear signals. The volumes are low, showing a muted start for a Monday. The price is moving within the Bollinger Bands, and any abrupt movement won’t result in a breakout since the bands are pretty wide and have not yet contracted. So, the rise and fall will have to be considered to change the current consolidating trajectory.

If the selling pressure intensifies due to broader market weakness, the pair can slide towards a $0.6500 support level. The bearish Ripple price analysis, shows negligible chances of a fast recovery.

Ripple price analysis conclusion: Falling knife hurts the most

As XRP price bounces back, analysts are still uncertain if it’s a genuine uptrend. The concept of catching a falling knife in the trading realm means trading in a falling asset. It can hurt the traders if they try to time the current market. As per Ripple price analysis, the downtrend has not yet entirely subsided, and there is considerable risk in the present scenario.

Underneath, the price will get ample support at $0.6500, where the trend line from the January lows is helping the bulls stabilize the price movement. Traders must see the volatility and volumes going forward into the week before making long positions.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Source: https://www.cryptopolitan.com/ripple-price-analysis-2021-05-24/