Ripple Reaches Bearish Exhaustion at $0.237 Low, Uptrending Likely
Oct 17, 2020 at 09:51 //
News
The rejection at the $0.26 overhead resistance has reached a low of $0.24 as the price falls into the bearish trend zone. Today, the crypto’s price is fluctuating above $0.24.
There is a possibility of Ripple recovering and resuming the upside momentum. Perhaps, if there is a strong bounce above the $0.24 support, XRP will rise and the price momentum will rally above the $0.26 resistance. On the other hand, if the current breakdown extends and falls below $0.24, the price will continue to fall to the previous lows.
Nonetheless, if the breakdown extends below the moving averages, the coin is likely to be range-bound in the bearish trend zone for a few more days. In the meantime, the coin is trading at $0.2405 at the time of writing. The price action is showing a bearish signal of a further downward movement of the coin.
Ripple indicator analysis
XRP is below the 50 % range of the daily stochastic. The coin is now in a bearish momentum. It has earlier been in the overbought condition since October 6. The price bars are now below the SMAs which suggests a further downward movement of the coin.
Key Resistance Zones: $0.35, $0.40, $0.45
Key Support Zones: $0.25, $0.20, $0.15
What is the next move for Ripple?
From the price action, there is a possibility of a further downward movement of the coin. On October 15 downtrend, the retraced candlestick tested the 78.6% Fibonacci retracement level. This retracement indicates that XRP will fall to 1.272 Fibonacci extension. In other words, Ripple will reach a low of $0.238 and reverse. The coin will first reverse to 78.6% Fibonacci retracement where it originated.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
OhNoCryptocurrency via https://www.ohnocrypto.com/ @coinidol.com By Coin Idol, @Khareem Sudlow