Ripple Price Prediction: XRP in Consolidation Before Launching to $0.7

Daily Ripple XRP Price Forecast

Last Updated July 23rd 2021
2 Min Read
  • Ripple's sideways trading enters the second week as resistance at $0.6 toughens.
  • Rising network growth reveals the possibility of an upswing in XRP price.
  • Ripple's MVRV ratio appears to be resetting toward zero as investors cash out for profit.
  • Ripple has been stuck in sideways trading action, mainly due to the seller congestion at $0.6. On the downside, the 50 Simple Moving Average (SMA) has functioned as formidable support. XRP is trading at $0.56 following another rejection from $0.6. If the price breaks above a key technical pattern on the four-hour chart, the cross-border token would soar toward $0.7.

    Ripple Nears Symmetrical Pattern Breakout

    The international remittance token is trading at the apex of a symmetrical triangle. This pattern leads to both a breakout and a breakdown. Trading above the upper trend line paves the way for a significant upswing equal to the distance between the pattern's highest and lowest points. Ripple rising above the triangle would see it embark on a recovery mission, eyeing highs beyond $0.7.

    XRP/USD Four-Hour Chart

    xrp/usd 4-hour chart 040221

    The four-hour SuperTrend indicator recently flashed a buy signal—this call to sell manifested by the signal line turning red and moving below Ripple. The indicator highlights an asset's general trend, which is currently bullish.

    XRP/USD Four-Hour Chart

    xrp/usd 4-hour chart 040221

    Santiment's network growth model shows that the number of new addresses joining the network has started to recover. The upward roll comes after a 30-day low of 1,971, posted on March 28. At the time of writing, the newly-created addresses have spiked to 2,544, thereby validating the price uptrend. Note that an improving network growth is a bullish signal. It shows that the project is gaining traction in mainstream adoption.

    Ripple Network Growth

    Ripple Network Growth

    Looking at the Other Side of the Fence

    According to Santiment, the market-value-to-realized-value (MVRV) ratio resets after a 30-day high of 15.67%. The spike in the ratio indicates that most XRP holders were in profit and, therefore, considered selling to take profit.

    Ripple MVRV Ratio

    Ripple MVRV Ratio

    At the time of writing, the ratio stands at 8.04% while dropping toward zero. Ripple's value will likely plummet until MVRV resets zero or below. In other words, this indicator shows that the slightest resistance path is downward.

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