Ripples recent market behavior suggests uncertainty among traders, with the price moving sideways within a narrow range, reflecting a lack of clear momentum.

A breakout is essential for XRP to establish a definitive trend.

XRP Analysis

By Shayan

The Daily Chart

A closer look at the daily chart shows Ripples price trapped in a prolonged period of sideways trading, marked by minimal volatility and unclear momentum. The price fluctuates within a tight range, bounded by key resistance at $0.55 and major support at $0.47.

Recently, the asset encountered notable volatility near the upper boundary, leading to liquidation events in both directions. However, XRP failed to overcome the upward resistance and stayed within its familiar region.

Currently, Ripple is contending with a significant resistance zone, which includes the ranges upper limit and the 200-day moving average. If buyers can push through this critical area, a sustained bullish trend could emerge. However, given the prevailing supply at this level and the absence of strong bullish momentum, a rejection seems more likely in the short term.

The 4-Hour Chart

The 4-hour chart highlights Ripples price oscillating within an ascending wedge pattern for nearly three months, with a substantial resistance level repeatedly thwarting upward movements. This key resistance includes the 0.5 ($0.5310) and 0.618 ($0.5574) Fibonacci retracement levels, which are areas of significant supply and selling pressure.

Recently, the asset has reached this critical juncture, experiencing increased volatility and rejections. If buyers manage to overcome this crucial resistance, a new bullish rally could target the wedges upper boundary at $0.58.

However, a more likely scenario involves a bearish rejection at this level, potentially triggering another decline towards the wedges lower boundary. In summary, the market remains uncertain, with a breakout necessary to determine Ripples future direction.

SPECIAL OFFER (Sponsored) Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).

LIMITED OFFER 2024 at BYDFi Exchange: Up to $2,888 welcome reward, use this link to register and open a 100 USDT-M position for free!

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.