- Ripple has dropped back below the $0.50 handle over the past session of trading to trade around $0.44.
- The market is expecting strong combined support at the $0.40 handle.
- Support moving forward; $0.45, $0.4221, $0.4091, $0.4034, $0.3825, $0.3429, $0.3304.
- Resistance moving forward; $0.4702, $0.4755, $0.4975, $0.5198, $0.5365, $0.5584, $0.60.
Ripple has seen a further price decline totaling -9.32% over the past 24 hours of trading against the USD. The market is presently trading at a price of $0.4463 after undergoing a 13% price decline over the past 7 trading days. However, compared with the rest of the Cryptocurrency market, Ripple has been holding relatively strongly.
Ripple continues to hold the number 2 ranked position in terms of overall market cap value across the entire industry. It currently holds an $18 billion value and continues to widen the gap between Ethereum. XRP has seen a 38% price hike over the last 90 trading days as the 64-month-old coin now trades at a price that is 87% lower than the all-time high value.
Let us continue to analyze price action for XRP/USD over the short term.
Ripple Price Analysis [XRP]
Analyzing price action from the short term perspective above, we can see that the recent market drop had seen XRP/USD fall to a low of $0.3961 today. We can see that this area was heavily supported by the short-term .886 Fibonacci Retracement level (drawn in blue) priced at $0.4034 and the downside 1.272 Fibonacci Extension level (drawn in red) priced at $0.4091.
As the market hit this area of combined support the bulls stepped back in and began to regain some of the losses. We can see that XRP/USD is now trading at the support provided by the short-term .618 Fibonacci Retracement level (drawn in blue) priced at $0.4535 as the Bulls battle for control.
Moving forward, if the sellers continue to drive price action below the $0.45 handle we can expect immediate support below to be located at the short-term .786 Fibonacci Retracement level (drawn in blue) priced at $0.4221 followed by the combined support at the $0.40 handle.
If the bearish sentiment continues further lower then further support can be found at the October 12 low priced at $0.3780 followed by the long-term downside 1.414 Fibonacci Extension level (drawn in red) priced at $0.3428.
Alternatively, on the other hand, if the buyers can hold above the support at the $0.4535 handle and drive price action higher we can expect further resistance above to be located at the .5 and .382 Fibonacci Retracement levels (drawn in blue) priced at $0.4755 and $0.4975, respectively.
If the bullish momentum continues to drive price action further higher then more resistance above can be located at the short-term 1.414 and 1.618 Fibonacci Extension levels (drawn in purple) priced at $0.5356 and $0.5584, respectively.
The RSI has recently slipped below the 50 handles to indicate that the sellers are in control of the market momentum. For a sign that the selling pressure is fading, we will look toward the RSI rising back toward the 50 handles.