Chart by TradingView
Over the past few days, XRP has been consolidating inside a tight range, but finally, there are some early signs it is about to attempt a breakout of the range.
Key Support levels: $0.75, $0.70
Key Resistance level: $0.89, $1
XRP’s price recently maintained its trading range between the support line at $0.75 and the resistance at $0.89. This has allowed the price action to settle and consolidate, giving buyers more confidence in a possible bullish reversal, following months of bearish price action.
Trading Volume: The volume level has remained flat and decreased as the weekend started (typical for weekends). If XRP attempts a breakout of the current consolidation range, this will likely occur in the coming weekdays.
RSI: The daily RSI is making higher lows and higher highs. This might signal a reversal in the multi-month downtrend.
MACD: The daily MACD went through a bullish crossover last week and the momentum has only increased since then, with the MACD histogram making higher highs. This is also bullish for XRP.
The current XRP bias is neutral. Once a breakout takes place – it will change this bias and decide the next direction for XRP.
XRP appears to get closer to deciding its next direction, and the chances for a bullish breakout are higher. However, this is likely dependent on the overall momentum of the crypto markets, which has been bearish lately.
If this momentum is maintained early next week and volume increases, then we may witness an attempt at breaking above the current resistance at $0.89 (top of the trading range). Until a clean break happens, XRP price action will continue under consolidation.
