The price of Ripple (XRP) has rallied above key support at $0.76. This support has been held since August 8. The current rally indicates a possible uptrend for the cryptocurrency.
The bulls have broken above the 21-day moving average. A break above the 50-day moving average would signal the resumption of the uptrend. Buyers also need to break above resistance at $1.10 to get out of the downward correction. Currently, the upside move has reached a high at $0.89. XRP needs to rally above the resistance at $1.10 to resume the upward momentum.
The recent bounce has led XRP to reach the 50 level of the Relative Strength Index for period 14. This indicates that there is a balance between supply and demand. The price of the cryptocurrency is above the moving average of the 21-day line. The XRP price accelerates when the price bars are above the two moving averages. XRP/USD is above the 60% area of the daily stochastic. The market has resumed its bullish momentum.
Major Resistance Levels - $1.95 and $2.0
Major Support Levels - $0.80 and $0.60
Ripple was previously in a downtrend but fell and has consolidated above support at $0.76. Today, the cryptocurrency has rallied back above the current support. Meanwhile, the downtrend from November 28 has shown a candle body testing the 78.6% Fibonacci retracement level. The retracement suggests that XRP will fall but reverse at the 1.272 Fibonacci level or $0.75.
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.