Ripple Retraces and Finds Support Above $1.10 as Sellers Threaten to Short
Oct 12, 2021 at 09:41 //
NewsOver the past 48 hours, Ripple (XRP) has been in a downtrend. Today, XRP fell to a low of $1.082 after failing to break above the $1.20 resistance level. The altcoin has retreated to support above the 50-day line SMA.
At the time of writing, Ripple is still trading in the bullish trend zone. It is likely that altcoin will continue its uptrend and retest resistance at $1.20. A break above this resistance will drive XRP to the previous high of $1.40.
However, if selling pressure continues and price breaks below the 50-day line SMA, XRP will fall and resume the downward correction between the moving averages. However, if the selling pressure continues above the 21-day line SMA, it suggests that XRP intends to reach the previous low at $0.85. Meanwhile, the bears are still struggling to break the 50-day line SMA or support at $1.10.
Ripple indicator analysis
Ripple is capable of another upward move if the XRP price finds support above the 50-day line SMA. The XRP price is at the 54 level of the Relative Strength Index of the period 14. The cryptocurrency is still in the upward zone and above the centre line 50. The altcoin has fallen into the oversold zone of the market. This means that selling pressure has reached bearish exhaustion. Ripple is likely to rise when buyers show up.
Technical indicators:
Major Resistance Levels - $1.95 and $2.0
Major Support Levels - $0.80 and $0.60
What is the next move for Ripple?
XRP/USD has been in a downtrend, falling to the lows above $1.08. Currently, the altcoin is consolidating above the current support at $1.08. Meanwhile, on October 11, the downtrend had a retracement candlestick testing the 61.8% Fibonacci retracement level. The retracement suggests that the XRP price is likely to fall to the Fibonacci extension level of 1.618 or $1.06. The price action shows that the market is reversing at the $1.08 level.
Disclaimer. This analysis and forecast are the personal opinions of the author 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.
OhNoCryptocurrency via https://www.ohnocrypto.com/ @coinidol.com By Coin Idol, @Khareem Sudlow
