Sellers have broken the $0.21 support signalling a further downward movement of the coin. The $0.21 support was the previous low where the coin fell before correcting upward.
Ripple would have resumed upside momentum if the previous support holds. Today, XRP is falling again after the previous support level was breached. It is likely the downtrend will extend to a low at $0.10.
On the downside, if XRP falls to $0.10 low, the coin would have reached the oversold region of the market. The selling pressure would have been exhausted suggesting that buyers take control of prices. On the upside, more buyers are expected to come in at the lower price level to push the altcoin to the previous price levels.
Ripple is now below the 20% range of the daily stochastic. It indicates that the coin has reached the oversold region of the market. This suggests that buyers will soon emerge to push prices upward. However, sometimes in a strong trending market, the oversold condition may not hold.
Key Resistance Zones: $0.80, $0.85, $0.90
Key Support Zones: $0.40, $0.35, $0.30
Ripple is falling because of the rejections from the previous highs. Also, A Fibonacci tool has indicated a further downward movement of the coin. On December 23 downtrend; a retraced candle body tested the 78.6% retracement level. The retracement suggests that Ripple will fall to level 1.272 Fibonacci extension or $0.10093 low. At this level, the market is expected to reverse to the 78.6% Fibonacci retracement level where it originated.
Disclaimer. This analysis and forecast are the personal opinions of the author that 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.