Ripple Price Gets Rejected at Trendline Resistance; What Can We Expect Next?

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Written By: Angeline Feliciano

Jun 18, 2020, 04:57 BST 04:57

Ripple XRPUSD

Summary:

Gains on ripple price continue to be limited. However, technicals suggest that the cryptocurrency could soon rally. Here are the levels to watch out for.

Gains on ripple price continue to be limited. As of this writing, the cryptocurrency is down by around 0.94% as it trades at $0.1911.

The 4-hour time frame reveals that XRPUSD is currently testing a critical resistance. When you connect the highs of June 2 and June 10, it can be seen that ripple price has recently gotten rejected at the falling trendline around $0.1950. The inability of the cryptocurrency to close above the trendline could indicate that there are still sellers in the market. With this, ripple price could soon fall to near-term support at $0.1818 where it bottomed on June 15. If support at that price does not hold, the next floor could be at $0.1619 where XRPUSD found support on March 30.

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On the more bullish side of things, it can be seen that ripple price has recently made higher lows after a series of lower lows. Consequently, an inverse head and shoulders pattern has formed. When you enroll in our free forex trading course, you will learn that this is considered a bullish reversal indicator.

A strong close above $0.1950 could mean that resistance at the falling trendline and the neckline resistance has been invalidated. With that, it could trigger a potential rally to $0.1994 where XRPUSD could test the 100 SMA and 200 SMA. If resistance at that price does not hold, the cryptocurrency could even go as high up as its June 4 highs at $0.2032.

Written By: Angeline Feliciano

Angeline Feliciano has been trading Forex for over ten years. She has invaluable experience working in FX education companies like BabyPips.com and Learn to Trade as a trader, currency analyst, trading coach, and presenter. Aside from these roles, she has also created intensive educational content on fundamental analysis which is heavily sought after by retail traders. She has taught hundreds of people how to trade the FX market in the Philippines and in Australia. When she is not trading, you can find her in the gym lifting weights.