Ripple price is up by 6.73% from 22:00 GMT on Sunday, as most cryptocurrencies are up against the dollar.
There is no specific trigger to today’s higher XRPUSD. Instead, it looks like a general return to risk- appetite, as stock market indices have also stabilized as the spread of the Coronavirus has slowed sharply across the world.
Per Sunday’s figures, the growth rate of new cases in Italy dropped to a new record low of 5.6%. In France, the growth rate was 7%, and in the USA 15%.
Italy was the first country to lockdown, and they did so 21 days ago on March 9. New York has been locked down for eight days from March 22, and already has the USA has seen its growth rate declined from an average of 41% growth rate per day to 21% per day on average in the last five days. The latest reading was for a low 15%, which is a 63% decline from the 41% average before the lockdown of New York.
I think it is likely that the percentage growth of coronavirus cases will slow in its tracks in the weeks ahead, and this will probably support cryptocurrencies as they are seen as a risky bet that rise and decline with stock markets.
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The multi-week trend in Ripple prices is bearish below the February 26 high of 0.2548, and as long as the price trades below this level, the price might revisit its 2020-low of 0.1132. However, in the very short-term, the price is bullish above the March 17 low of 0.1390, and it looks like Ripple prices are ready to claw back some of its losses from the 2020-high.
Ripple prices lost 67.28% of their value from the 2020-high of 0.3472 as the price reached a new multi-year low of 0.1132, on March 11. Since then prices are up by about 50% from their 2020-low, and they have still not reached the 38.20% Fibonacci retracement level at 0.2028.
The Fibonacci level is derived by using the 2020-high and low as reference points, and typically the price will correct 38.20% before heading lower, but some times the price might correct up to 50%, and that level is at 0.2305.
If the trend turns bearish by sliding below the March 17 low of 0.1390, the price might add to its losses, however, as long as the price trades above the March 17 low, I think the price will be able to claw back more of its losses, and XRPUSD might reach the Fibonacci levels mentioned above.
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