Ripple Technical Analysis: XRP Bulls Attempt To Fight Back And Regain $0.30
Daily Ripple XRP Price Analysis
- Ripple had a highly bearish December due to the SEC lawsuit.
- The MACD in the daily chart has reversed from bearish to bullish.
Ripple had a devastating December, dropping from $0.665 to $0.217 on the back of the SEC lawsuit. The buyers are now desperately trying to recover the price, having pushed XRP up to $0.26. Could this be the start of a new bullish rally, or is there more pain in store for the holders?
Ripple Price Action
XRP/USD has had six straight bullish candlesticks in its 4-hour chart, during which it went up from $0.225 to $0.26. It seems like the price has found good support at the 20-bar and 50-bar SMA.
Image: XRP/USD 4-hour chart
In the process, XRP has reversed the parabolic SAR from bearish to bullish, which shows that the current sentiment in this time-frame is positive. The relative strength index (RSI) has not yet entered the overbought zone, so more growth is expected.
Image: XRP/USD daily chart
The MACD has reversed from bearish to bullish in the daily chart, which is a positive sign. However, the Bollinger Band is constricting even more. This shows that the market volatility is still low, and no wild price movements are expected.
There is another interesting thing that you must keep in mind. The 200-day SMA and 20-day SMA are about to cross over with each other to form the bearish cross pattern. This could potentially trigger XRP to drop again. In that case, the $0.17 support barrier becomes a critical level once again.
Key Price Levels To Watch For XRP
Ripple bulls have to cross the $0.30 psychological level to jump above the 20-day and 200-day SMAs and negate the bearish cross's effects. However, if the price does fall, the $0.17 support barrier needs to hold firm to keep the price up.