XRP (XRP) price is slowly correcting higher towards the $0.385 horizontal resistance area. Once there the reaction can determine the direction of the future trend.
XRP is the original token of Ripple Labs, which was founded by Jed McCaleb and Chris Larsen. It provides transactions for a global payment network at a nominal cost. After the sharp drop on 8th November, XRP price consolidated between $0.32-$0.40. big announcement In the coming week In other related XRP news, Ashish Birla, a founding member of Ripple, was appointed as an advisor to Panther Ventures.
XRP price bounces off 195-day support
XRP price is trading above an ascending support line since hitting its yearly low on 14th June. So far, the line has initiated six bounces (green icons). Most recently, it made an upward movement on 19th December which is still continuing.
Interestingly, the surge coincided with massive XRP transactions coming from many whales, which was expected to drive the move to the downside. the largest of which was $112 million transaction to unknown wallet from Binance. If the upward movement continues, the nearest resistance area will be at $0.385. Additionally, it looks like XRP price is trading inside a symmetrical triangle.
Since this line has been in place for 192 days, a breakdown below it could push the price lower. Nevertheless, the daily time frame is not doing enough to determine whether the bounce will continue or a breakdown instead. Besides the fact that the triangle is considered a neutral pattern, the daily RSI is also neutral, as it is rising but still below 50.
If the rally continues, XRP price could reach the $0.385 area. If a breakdown occurs, the future price projection will most likely be a drop below $0.30.
Short-Term Rally to $0.385
The six-hours chart shows that XRP price broke the $0.355 resistance area over the past 24-hours. The breakout was preceded by a bullish divergence in the RSI (green line).
Additionally, the digital asset is following a short-term resistance line, which is currently at $0.375. This confluence of resistance levels adds to the importance of the $0.385 area.
As a result, while an upward move towards this area is expected, the reaction once the price is found will determine the direction of the future trend.
To conclude, the main readings for XRP are neutral, failing to conclusively provide direction to the future trend. Once the price moves towards the $0.385 area, the reaction will be crucial in determining whether the movement is bullish or bearish.
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