Price has been following an ascending support line over the past 30 days. It made an unsuccessful attempt at breaking above the resistance at $35, before creating a double top pattern on February 23rd and dropping back to the support line. Since the subsequent bounce, the price has been trading in a descending wedge for the past 2 days and 7 hours, with two unsuccessful attempts at breaking out above resistance.
- The first significant support area is found near $0.29, effectively making a double bottom pattern.
- The first resistance area is found near $0.35
- The breakdown from the double top was preceded by bearish divergence in the RSI.
- Price is trading inside a short-term descending wedge.
- Price is trading below the short-term moving averages.
XRP Price Analysis – XRP/USD 2-hours Chart
A look at the 2-hours chart for XRP/USD shows that price rallied up to $0.35, making a double top pattern, which when found in an uptrend, is considered a reversal pattern. The resistance area also coincides with the 0.618 fib line measured in the range from $0.38 to $0.29. Furthermore, the price is following an ascending support line which has been in place for 30 days and 14 hours. Price bounced back after dropping and validating the line for the fourth time. However, we can also see that price is following an ascending support line which has been in place for 29 days. Price bounced perfectly onto the support line and validated it for the 3rd time. If the support line fails to hold the place, the nearest support area is found near $0.28.
As for the indicators, the double top was combined with a bearish divergence in the RSI. Price is trading below the 21 and 50-period moving averages which have made a bearish cross (black arrow).
XRP Price Analysis – XRP/USD 15-minutes Chart
A look at the 15-minutes chart for XRP/USD shows us that after the drop from $0.346, the price has been trading inside descending wedge, which has lasted for approximately 2 days and 7 hours. Both the resistance and support line have been validated three times. Price initially was following a minor resistance line (dashed red line), before breaking above it and reaching the main line which corresponds with the 0.618 fib line of the entire drop. In the case of a breakout, the price can find resistance in the $0.334 and $0.342 areas.
As for the indicators, the price is trading below the 21 and 50-period moving averages and the Ichimoku Cloud. The moving averages are in the process of forming a bearish cross(black arrow).