Ripple Price Analysis: XRP Breaks Below Critical Level
Daily Ripple XRP Price Forecast
- Prior to this Thursday, XRP was sandwiched between the 20-day and 200-day SMAs.
- The parabolic SAR in the daily chart has reversed from bullish to bearish.
Prior to this Thursday, Ripple had been trending horizontally for 10 days between the 20-day and 200-day SMAs. How much is the Ripple price expected to drop? Let’s take a closer look with technical analysis.
Ripple Price Reverses Its Trend
This Thursday, Ripple price dropped from $0.296 to $0.267. Prior to this drop, XRP bulls repeatedly tried to break above the 200-day SMA and failed. During the drop, XRP price flipped the 20-day SMA from support to resistance, dropping below a critical level. At the same time, the parabolic SAR has reversed from bullish to bearish. This tells us that the present market sentiment is negative.
Image: XRP/USD daily chart
The MACD in the 4-hour chart tells us that Ripple price is presently experiencing increasing bearish momentum. This could trigger a further collapse to the $0.23 support level. In this case, it’s going to be crucial to see how the Ripple price interacts with this $0.23 line. If the support breaks, it could be pretty catastrophic for XRP.
Image: XRP/USD 4-hour chart
Former Ripple Advisor Is The New OCC Head
The US President Joe Biden is reportedly expected to nominate Michael Barr to serve as Comptroller of the Currency (OCC). This US Treasury office regulates national banks and credit unions. Like his predecessor, Barr would bring cryptocurrency experience to the OCC, as per the Wall Street Journal report.
Barr worked on Dodd-Frank banking reforms in the aftermath of the 2008 financial crisis. He was named an advisor to Ripple Labs in 2015. However, he is no longer listed as an advisor to the company.
Outgoing acting OCC head Brian Brooks also was part of the crypto industry. Before taking over the role in May, Brooks was Chief Legal Officer of Coinbase. Brooks sought to bring digital assets into the mainstream finance world in his short term as the OCC head. Late in his tenure, the OCC issued guidance that banks could use blockchain and stablecoins for payments.
Ripple Price Is Expected To Reach These Levels
Having finally broken its horizontal trend, the bears could have a pretty adverse effect on the Ripple price. If XRP drops to the $0.23 support line, the buyers will have to do all that they possibly can to prevent a further catastrophic drop.