Ripple’s price movement has been relatively stagnant, following a cascading downward trend. This decline led the price to a robust support area represented by the 200-day moving average.
By Shayan
Looking at the daily chart, the increased selling pressure and bearish sentiment are evident, resulting in a significant price decrease. This downward movement has disrupted the previous bullish trend and led to an extended rejection. Consequently, the price fell below the 100-day and 200-day moving averages, respectively, at $0.55 and $0.49.
However, a sudden rebound occurred at the approximate $0.42 support level, pushing the price above the 200-day moving average again. This support zone serves as a substantial level and has the potential to stop further declines and foster a brief period of consolidation.
The current price is bounded within a narrow range marked by the 100-day and 200-day moving averages. A breakout above this range could serve as an indicator of Ripple’s upcoming trajectory. This breakout might indicate either a corrective phase prior to a continuation of the downtrend or a reversal with an aim toward the resistance level at $0.85.
Looking at the 4-hour chart, it becomes apparent that the recent decline caused a retracement toward a long-standing uptrend line, which has consistently provided strong support. Despite the price being supported upon reaching this pivotal trendline and experiencing a slight rebound, the possibility of further downward movement remains viable.
Such a scenario could push the price below this crucial dynamic support level. In this case, the price descending towards the static support at $0.42 becomes more likely.
Conversely, if buyers effectively maintain the price around this pivotal trendline, it could trigger a fresh surge towards the $0.85 mark. Regardless of the outcome, vigilantly monitoring price fluctuations is imperative. The interplay between the support and resistance levels will undoubtedly influence shaping the immediate course of Ripple’s price action.
