- Ripple grew in value of more than 30% becoming one of the best performing altcoins on the market in May.
- Recovery has been limited at $0.4100, in turn, forming a bullish flag pattern.
Ripple appears to have found a short-term bottom at $0.38 following the declines from the new yearly highs posted around $0.47. In May alone, Ripple grew in value of more than 30% becoming one of the best performing altcoins on the market. The rising bear pressure has seen the third largest crypto form new lower patterns over the last couple of weeks.
XRP/USD 15′ chart
Looking at the short-term chart, 15-minutes timeframe initial support at $0.4100 struggled to prevent declines. However, the bear’s grip has been tight on Ripple especially in the last few days. A correction below the 100 Simple Moving Average (SMA) sparked more declines sending the price below $0.4000.
XRP/USD dived further to the test the short-term support at $0.38 which is also doubling up as the bottom in the near-term. Recovery has been limited at $0.4100, in turn, forming a bullish flag pattern. Reaction to this pattern is likely to result in declines that could retest $0.3800.
The trends of the RSI show that XRP is poised for losses in the short-term. The indicator’s signal is strongly bearish. Besides, the price of breaking the flag pattern support has allowed the bears to have confidence and push for revenge.
The MACD in the same short-term range is increasing the divergence to the south to show that it’s the bears’ turn. On the contrary, Ripple is well supported to the downside and a reversal is expected at $0.3900. Other key support areas are $0.3800, $0.3600 and $0.3500. Meanwhile, a reversal above $0.4000 could open the door for a correction towards $0.5 in the medium-term.
Ripple Key Technical Indicators
RSI 15’: Pointing north after testing the oversold as an indication of bulls return.
MACD 15’: Increasing divergence hints further breakdown.
100 SMA 15’: Limiting gains at $0.4000