- Bears eke out an advantage after two straight bullish days.
- Parabolic SAR reversed from negative to positive.
On April 26 and April 27, the Ripple price jumped from $1.03 to $1.40. Prior to this XRP had crashed from $1.83 to $1.03 between April 15 to April 25. Let’s take a closer look with technical analysis.
Ripple Price Sentiment Reversed From Negative To Positive
Over the last two days, the RIpple price flipped the 20-day SMA from support to resistance as XRP dropped from $1.40 to $1.385. The MACD shows sustained bearish market momentum so a further drop could be in the cards. However, the parabolic SAR has reversed from negative to positive, which could counter this negative signal.
Image: XRP/USD daily
In the 4-hour Ripple price chart, XRP has been trending horizontally and is sitting on top of the 20-bar SMA. The parabolic SAR in this timeframe is negative, but the 20-bar SMA is stopping this downward movement.
Image: XRP/USD 4-hour
Ripple Holders Go On A Buying Spree
XRP whales have gone into a buying spree. According to Santiment, 19 new addresses with more than 1,000,000 #XRP have joined the network since April 23. Further upward pressure could push this cryptocurrency to new yearly highs.
Why Are Whales Buying XRP?
A new wave of uncertainty recently struck the cryptocurrency market after sources close to the current Biden administration said policymakers were planning to increase taxes for wealthy investors. The “Crypto Fear and Greed Index,” a collective metric that measures current sentiments on the cryptocurrency market, quickly swayed from “Extreme Greed” (79 points) to “Fear” (27) for the first time in over a year.
It saw XRP-related social sentiment experiencing a notable decline, reaching the lowest levels since March. However, it has experienced an uptick in the past few days, suggesting higher prices in the next few weeks. Past data indicates that prices usually tend to move upwards when social perception is low.
XRP’s supply distribution chart shows that the buying pressure behind the asset has risen dramatically over the past few days, even as the social sentiment reached a low earlier last week. Analytics firm Santiment recorded a significant spike in addresses with millions of dollars in XRP.
Indeed, the number of addresses holding more than 1,000,000 XRP shot up by 1.25%. Roughly 19 new whales have joined the network in a short period.
Ripple Price Is Expected To Reach These Levels
The Ripple price will need to flip the 20-day SMA from resistance to support to aim for the $1.55 resistance barrier.