- Summary:
- Trading on ripple price has been muted in these last few trading days. However, with this recent consolidation could we soon see a breakout on XRPUSD?
Trading on ripple price has been muted in these last few trading days. XRPUSD has been stuck between support at $0.1925 and resistance at $0.2068 for the most part since July 9. These two levels also correspond to the 100 SMA and 200 SMA, respectively. When you enroll in our free forex trading course, you will learn that a consolidation often leads to a break out. With that said, what can we expect next from ripple price?
On the 4-hour time frame, it can be seen that ripple price has recently broken resistance at the falling trendline (from connecting the highs of April 30 and June 2). Often, this could be interpreted as a sign that there is bullish momentum in the market. However, it is worth noting that XRPUSD is still testing resistance at the 200 SMA. In order for ripple price to trade higher, it will need to close above its July 9 high at $0.2115. Should this happen, resistance at the 200 SMA will have already been broken. Ripple price could soon then retest its April 30 highs at 0.2360.
On the other hand, if there are not enough buyers to push ripple price higher, we could soon see XRPUSD drop to near-term support around $0.1875. This price represents a confluence of support as it corresponds to the previous trendline as well as the area around the 61.8% Fib level (when you draw the Fibonacci retracement tool from the low of June 27 to the high of July 9).
Ripple Price, 4-Hour Chart
