- Ripple has continued to decline from the high of $0.7931 placed on September 21st, 2018.
- It has recently found support at a short-term .786 Fibonacci Retracement level priced at $0.3825.
- Support levels moving forward; $0.3825, $0.3304, $0.30, $0.2706
- Resistance levels moving forward; $0.4702, $0.5317, $0.5933, $0.7345, $0.7866, $0.8614.
Ripple has seen a small price increase totaling +6.63 over the past 24 hours of trading. The cryptocurrency is currently exchanging hands at a price of $0.4287 after seeing a precipitous -17% price decline over the past 7 trading days.
Ripple continues to retain its number 3 position in rankings according to overall market cap across the entire industry. It currently holds a total market cap value of $17.15 billion after experiencing a 56% price increase over the past 30 trading days. The 62-month-old coin is currently trading at a value that is 88% lower than its all-time high price.
Let us continue to analyze price action for Ripple over the short term and highlight any potential support and resistance areas.
Ripple price analysis
XRP/USD – SHORT TERM – DAILY CHART
Analyzing price action from the short term perspective above, we can see that the market had experienced an aggressive bullish run when price action started from a low of $0.2706 on September 18th, 2018 and extended to a high price of $0.7931 on September 21st, 2018. This was a price increase totaling 200% from low to high.
We can see that after placing the high, price action rolled over and started to depreciate. It continued to decline as October 2018 began trading until recently where some short-term support was found at the .786 Fibonacci Retracement level priced at $0.382. This Fibonacci Retracement is measured from the entire bullish run outlined above. Interestingly enough, this price level is also the price high seen on August 17th, 2018 further adding to the expected support in the area.
Moving forward, we can see that the bulls have regrouped and caused price action to rebound from the support at $0.382. If the bullish momentum can continue higher we can expect immediate resistance above to be located at the .618 Fibonacci Retracement level priced at $0.4702. If the bulls can continue higher we can expect more resistance above to be located at the .5 and .382 Fibonacci Retracement levels priced at $0.53 and $0.59, respectively.
In the scenario that the bulls can then continue even higher then more significant resistance above can then be expected at the 1.272 and 1.414 Fibonacci Extension levels priced at $0.73 and $0.78 respectively.
Alternatively, if the bears continue with their pressure to push the market below the support at $0.382 then further immediate support located below can be expected at the .886 Fibonacci Retracement level priced at $0.3304. Further support below this can then be expected at the psychological round number handle of $0.30 followed by the September 18th low at $0.2706.
The technical indicators within the market have recently returned to neutral readings as the RSI trades along the 4HR 50 level line. If the RSI can break back above the 50 handles we could expect this market to make further gains.
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Yaz is a cryptocurrency technical analyst and has been actively trading financial markets for over 7years, with 4 years of crypto experience. He is an Economics graduate who has taken a keen interest on the future potentials of blockchain in the financial industry. Aside from cryptocurrency and trading Yaz enjoys spending his time watching his favourite football team (Liverpool F.C.) compete as well as keeping up-to-date with the UFC. Reach out to him at [email protected]