Ripples price has been declining over the past few months, after encountering strong resistance at a key level. The current trading zone is crucial, as its outcome will determine the mid-term market trend.
Technical Analysis
By: Edris
XRP/USDT Daily Chart
After rallying in early May, Ripple’s price has been creating lower highs and lows. The bearish reversal at the $0.6 region initiated the current downtrend. Currently, the cryptocurrency is testing a key support level, marked by both the $0.42 region and the 200-day moving average.
If these levels are breached, Ripple could potentially experience a catastrophic plunge, possibly reaching $0.3 and beyond in the short term.
Alternatively, if a rebound occurs, the first likely target would be the 50-day moving average near the $0.48 region.
XRP/BTC Daily Chart
Ripple’s price is still confined within a large descending channel against BTC, unable to break above it despite numerous attempts. Additionally, the 50-day moving average near the 0.000017 region has now been breached to the downside, with the 0.000015 support currently being breached.
If this level is broken, a deeper decline towards the 0.000013 region is likely. Moreover, the RSI is indicating values below 50%, implying that the momentum is currently in favor of the bulls.
