After pausing yesterday, the Ripple price is probing higher this morning and on track for test of trend line resistance at $1.30. Ripple (XRP) has staged an impressive recovery over the last two weeks. XRP has Improved by 20% in October, and over over 40% from the September low. As a result, the price has recovered the major moving averages and is displaying growing bullish momentum.
The cryptocurrency market weathered the storm in September and its combined market cap has climbed above $2.3 trillion in the last few days. Most of the gains have been driven by Bitcoins push to a five month high of $56,500. But the Ripple price has tracked the market leader higher. However despite the recent gains, XRP is still 20% below September’s $1.4357 peak. Nonetheless, Ripple has added over $15 billion in market cap since the 22nd of September, cementing its place as the 6th-largest cryptocurrency, ahead of Solana (SOL). Furthermore, as a result of the recent uplift, the Ripple price has recovered the 50, 100 and 200-day moving averages which should encourage the price higher.
The daily chart shows a descending trend form the April high, is currently capping the price at $1.3050. This is the first, and most significant obstacle for the bulls. Successful clearance of the trend opens the door to April’s $1.9839 high. Below the market, the 50 DMA at $1.0907, the 200 at $1.0030 and the 100-day at $0.9393 provide solid price support. Furthermore, a rising trend line at $0.9550, adds weight to the bullish view.
As long as XRP maintains the rising trend line, the outlook is constructive and should led to a test of trend resistance at $1.3050. However, if the Ripple price drops out of the uptrend and below the 100 DMA, it invalidates the bullish view, indicating a steep correction is possible.
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