- Summary:
- Ripple price has enjoyed a strong bullish run so far this week. As of this writing, XRPUSD is trading around the $0.2000. Will it finally break resistance?
Ripple price is up by more than 3.60% so far in this week’s trading as it hovers around $0.1960. The intraday technical setup on XRPUSD also suggests that the cryptocurrency may still have room to trade higher.
On the 4-hour time frame, it can be seen that the recent bullish run on ripple price was enough for resistance at the falling trend line to be broken. It would also seem that XRPUSD has found support at this previous resistance. It is also worth pointing out that the cryptocurrency has formed a double bottom chart pattern. This is characterized by a market bouncing off a support level twice. For ripple price, that level was $0.1780 from which it found support on April 16 and April 20.
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A closer look at the 1-hour time frame would also show that the previous trend line coincides with the 50% Fib level (when you draw the Fibonacci retracement tool from the low of March 23 to its intraday high). If you are looking to go long on ripple price, you would want to keep tabs on the $0.2000 handle. A strong bullish close above this level would effectively break the neckline resistance of the double bottom. It may then signal a potential rally on XRPUSD to near-term resistance at $0.2057 where it topped on April 7.
On the other hand, be wary of a close below yesterday’s low at $0.1855. This could mean that there may still be enough sellers left in the market. Ripple price could then trade lower to its April 20 lows at $0.1780.