Today, Ripple (XRP) began resuming a downward move after correcting upward to the $1.00 high. During the short upward correction, a doji candlestick has formed with the opening and closing price matching.
It indicates that there is balance and indecision between buyers and sellers. The doji candlestick is found at the top of a trend. It indicates that the uptrend is losing strength and the market is likely to reverse. The altcoin is expected to fall and retest the previous low at $0.92. If the bears break the previous low, XRP will continue to fall to the low of $0.66. However, if the support at $0.92 holds, Ripple will start a new uptrend to regain the previous highs.
XRP has started to fall as the price bars are below the moving averages. Ripple is at level 43 on the Relative Strength Index for period 14, indicating that XRP is in the downtrend zone and may fall to the downside. XRP is above the 80% range of the daily stochastic. The stochastic bands are sloping below the 80% range. This indicates that altcoin is in a bearish momentum. The market is expected to go lower.
Major Resistance Levels - $1.95 and $2.0
Major Support Levels - $0.80 and $0.60
The XRP/USD price was previously in an uptrend. Ripple is rising, reaching a high of $1.01. Meanwhile, on September 22, the uptrend gave way through a candlestick that tested the 61.8% Fibonacci retracement level. The retracement suggests that XRP will rise to the Fibonacci extension at 1.618 or $1.00. The Fibonacci tool has indicated that the market will reach the recent high. However, the stochastic indicator shows that XRP is overbought at $1.00, which means that the altcoin will fall. The price action has confirmed the downward movement of Ripple.
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.