Ripple Price Analysis: After the Plunge Toward $0.4, What’s Next for XRP?

Following an impulsive bearish decline, Ripple has encountered heightened volatility and fluctuations. However, the price is likely to undergo a period of sideways consolidation near the $0.42 region before initiating its next major move.

By Shayan

The Daily Chart

An in-depth analysis of the daily chart reveals that Ripple has been in a downtrend, characterized by a multi-month bearish price channel.

Recently, XRP was rejected from the channel’s upper boundary at $0.48, leading to a significant long liquidation cascade and a steep decline in its price. Currently, the cryptocurrency has reached a critical support region, which includes the channel’s middle boundary and the crucial $0.42 support area. This region has seen heightened activity and increased volatility.

A period of consolidation within the range between $0.42 and the channel’s upper threshold of $0.47 is expected in the short term. If the price breaks below the critical $0.42 support region, the continuation of the bearish trend will become more likely.

Source: TradingView

The 4-Hour Chart

On the 4-hour chart, following an impulsive plunge, the price reached the crucial $0.42 support region and encountered increased buying activity.

Consequently, XRP printed a bullish rebound, retracing toward a significant resistance region, which includes the range between the 0.5 ($0.4353) and 0.618 ($0.4480) Fibonacci levels. This zone serves as the main target for the bullish corrective stage.

If the price is rejected near this critical threshold, the continuation of the bearish trend is more likely, with the $0.38 support region being the main target for sellers.

On the other hand, if the price successfully surpasses this resistance region, the continuation of the bullish retracement toward the $0.47 resistance zone becomes likely. Therefore, the price action near these key Fibonacci levels is crucial for determining Ripple’s upcoming movements.

Source: TradingView

Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).

LIMITED OFFER 2024 at BYDFi Exchange: Up to $2,888 welcome reward, use this link to register and open a 100 USDT-M position for free!

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.

Source link

About The Author

Scroll to Top