Ripple Technical Analysis: Buyers May Soon Enter In The Short Term, As XRP Drops Below $1
Daily Ripple XRP Price Analysis
- Ripple price sentiment is negative as per the parabolic SAR.
- MACD shows sustained bearish market momentum.
Since May 19, the Ripple price has been on a downward plunge, crashing from $1.59 to $0.93, dropping below the $1 psychological level. During this crash, XRP managed to flip the 20-day and 50-day SMAs from support to resistance. Let’s take a closer look with technical analysis.
Ripple Price To Soon Face Bullish Resurgence?
Looking at the daily Ripple price chart, we can see that XRP has flashed a major sell signal, since the parabolic SAR has reversed from positive to negative. The relative strength index (RSI) shows that Ripple may drop some more before it becomes oversold.
Image: XRP/USD daily
However, the 4-hour Ripple price chart tells us that potential bullish resurgence could be in the cards. When you see the TD sequential detector, we can see that XRP has already flashed the red-nine candlestick in the 4-hour chart. This is a positive signal, and shows that the buyers will take back control soon. However, the MACD shows sustained bearish market momentum, so the sellers are still in control.
Image: XRP/USD 4-hour
Ripple Partners With Egypt’s Largest National Bank
Ripple has recently announced a partnership with the National Bank of Egypt (NBE). The financial institution can now use the RippleNet to connect with the UAE-based financial services provider LuLu Exchange.
According to Ripple's announcement, the partnership aims to help NBE process cross-border transactions from the UAE to Egypt. Currently, Egypt is one of the largest remittance recipients after India, China, Mexico, and the Philippines.
Ripple noted that remittances play a significant role in a country’s gross domestic product. Remittance providers currently work with the traditional global payments infrastructure, causing cross-border remittances to be costly and slow, it added.
Both NBE and the LuLu Exchange can now take advantage of RippleNet, which uses blockchain technology to move funds across the globe for a fraction of the cost of the traditional financial system. Hesham Elsafty, Group Head for Financial Institutions and International Financial Services at NBE, said:
NBE’s partnership with Ripple will help to improve overall efficiency by enabling NBE to establish new alliances across wider markets with reduced cost and quicker integration time.
The partnership comes months after the US SEC filed a lawsuit against Ripple and two of its executives for selling XRP tokens as unregistered securities.
Ripple Price Is Expected To Reach These Levels
If our bullish hypothesis is correct, then the buyers will likely push the Ripple price up to $1 psychological level. However, if the bears take control, XRP may drop to the 200-day SMA ($0.65).