Ripple (XRP) price has recovered but remains below the moving average lines.
The bullish momentum is not leading to break the moving average lines. In other words, the upward correction was not able to overcome the resistance at $0.37. If the buyers are successful, the cryptocurrency will rise above the high of $0.40. However, as it encounters resistance at the moving average lines, XRP falls. If the altcoin is rejected at the moving average lines, it will fall back to its previous lows of $0.34 or $0.31. At the time of writing, XRP has climbed as high as $0.37. As the current uptrend approaches the overbought area of the market, it could be rejected.
Ripple's Relative Strength Index is at 46 for the period 14. The altcoin is still in a downtrend zone despite the upward correction. The price will continue to fall as the price bars are currently below the moving average lines. XRP is in a downtrend on the 4-hour chart as it is below the daily stochastic of 80.
Key resistance levels - $0.80 and $1.00
Key support levels - $0.40 and $0.20
Buyers are trying to keep the price of XRP above the high of $0.37. However, as the cryptocurrency approaches the overbought area of the market, it could face rejection. If XRP breaks above the 21-day line SMA, it will be forced to trade in a range. On the 4-hour chart, XRP will decline above the moving average lines or the $0.35 support.
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