Ripple Declines as Bulls Recoup Above the $1.00 Support

Ripple (XRP) is in a downtrend as the price drops below the 21-day and 50-day moving averages. This means that further selling pressure is inevitable. Today, Ripple has fallen to the low of $1.01.

The cryptocurrency has been falling since November 9 after buyers failed to keep prices above the $1.30 resistance level. Selling pressure is likely to continue as the altcoin trades in the downtrend zone. XRP will fall to regain the previous low at $0.94. XRP/USD will fall to $0.85 where the previous low was broken. On the other hand, if selling pressure continues above the previous low, buyers will re-enter above the previous low. Ripple will regain its bullish momentum if price breaks above the moving averages. 

Ripple indicator analysis

Ripple has fallen to level 38 on the Relative Strength Index for the 14 period. The cryptocurrency is in the bearish trend zone and is capable of further downward movement. When the RSI drops to level 30, XRP is considered to be in the oversold region. The altcoin is below the 20% range of the daily stochastic. Here, XRP has reached the oversold region of the market. This means the selling pressure is likely to end.

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?

On the 4-hour chart, XRP has fallen to the low of $1.04. Bullish candlesticks point to a possible upside move. Meanwhile, a downtrend started on November 10 and a retracement candlestick tested the 50% Fibonacci retracement level. The retracement suggests that the XRP price will fall to the 2.0 Fibonacci extension level, or $0.90.

Disclaimer. This analysis and forecast are the personal opinions of the author and 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.