The price of Ripple (XRP) has continued its sideways movement after failing to break the resistance at $0.55.
The cryptocurrency has retreated above the $0.43 support and the moving average lines. It is fluctuating below the resistance level for a possible rise in the cryptocurrency. The altcoin could continue to rise if buyers overcome the resistance at $0.55. This will push XRP to reach the high of $0.79.
Conversely, XRP will come under selling pressure again if it continues to be rejected at the resistance zone. The market will fall to the low of $0.40. Meanwhile, selling pressure will intensify if the price falls below the moving average lines. In the meantime, the price bars above the moving average lines, indicating further upside.
The cryptocurrency has fallen to level 58 on the Relative Strength Index for the period 14. The altcoin is declining as the market reaches the overbought area. XRP has risen above the 74% area of the daily stochastic. It is approaching an overbought area which will attract sellers at higher prices. Meanwhile, the blue and red moving average lines are sloping upward, indicating an uptrend.
Key resistance zones: $0.40, $0.45, $0.50
Key support zones: $0.30, $0.25, $0.20
Ripple is still trading in the bullish trend zone as buyers try to resume the uptrend. On the 4-hour chart, the altcoin risks another decline as it approaches the overbought regiom. In the downtrend from September 23, XRP corrected upwards as the candlestick tested the 61.8% Fibonacci retracement level. The correction suggests that XRP will fall to the Fibonacci extension level of 1.618 or the low of $0.40.
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.