Ripple (XRP) has reached bearish exhaustion as price retook the previous low above $0.58 but pulled back above $0.60. Selling pressure appears to have abated as price consolidates above current support.
The uptrend will continue if the current support holds. There is a long candlestick tail pointing to the previous low at $0.58. The candlestick indicates that there is strong buying pressure above the previous low.
The price action is showing bullish candlesticks indicating a possible upside move. Ripple will retake the highs of $0.68 and $0.70 if the bullish momentum continues. Conversely, XRP will resume selling pressure if price drops below the previous low. However, a mere breakout is not enough to resume selling pressure. XRP is trading at $0.61 at the time of writing.
The cryptocurrency has rallied above the 25% area of the daily stochastic. Ripple has resumed its bullish momentum. The 21-day and the 50-day SMA are sloping downwards, indicating the downtrend. XRP has fallen to level 38 on the Relative Strength Index for period 14. Ripple is still in the bearish trend zone and approaching the oversold area. The 21-day and 50-day SMA are sloping downward, indicating the downtrend.
Major Resistance Levels - $1.95 and $2.0
Major Support Levels - $0.80 and $0.60
Ripple's downward move has reached bearish exhaustion as shown by the price indicator. We should expect the market to move higher. Meanwhile, on July 5 downtrend, a retraced candle body tested the 50% Fibonacci retracement level. The retracement suggests that Ripple is likely to fall to the 2.0 Fibonacci Extension level or the $0.57 level. From the price action, a long candle tail has pointed to the 2.0 Fibonacci extension level and pulled back.
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