Ripple has been on a downward trend for the past eleven months. This comes shortly after hitting close to $2. Despite this week’s green candle so far, daily candles have shown no strength.
The daily chart
Technical analysis by grizzled
Ripple is trading below the EMA200 line (marked in white) on the daily time frame, which has provided resistance over the past few months, and currently sits at $0.85.
Going forward, the main key level is the static resistance at $1 (marked in blue), which intersects the dynamic resistance (marked in red) and is also a psychological barrier. Ripple faces a tough task, and breaking above $1 shouldn’t be easy.
The notable point is the state of the CMF indicator. After touching the yellow zone and crossing the base line, an uptrend had started. And now the indicator is in a similar situation, and we have to wait and see if the price performs the same positive reaction. In this case, the $1 should be retested soon.
The 4 hour chart
On the 4-hour timeframe, as mentioned in the daily timeframe analysis, short-term resistance sits at $0.85, which seems to provide plenty of supply from the sellers.
The BMAX indicator is also moving away from the overbought zone and is expected to gain momentum to further test this near-term resistance. It should be noted that a short-term uptrend is possible as long as a lower low does not form. Otherwise, the price of XRP may fall to the bottom of the triangle, which is located around the support at $0.70.
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Cryptocurrency charts by TradingView.