Ripple Price Analysis: Bearish technical signals could seen XRP to 0.1600
|- Ripple is trading 2.66% lower on Wednesday after resistance levels prove to be too stubborn.
- On the downside 0.1600 is the next major resistance as the moving averages are taken out.
XRP/USD 1-hour chart
Ripple has had a good run at testing upside targets recently but it seems there was no breaking 0.1800 for now. Now it seems the trendline in black on the chart has been broken to the downside. This is not the only bearish signal as both the 55 and 200 moving averages have been taken out. Looking at the price action alone the waves have made a lower high lower low pattern.
The main low that needs to be broken for the bears is now is 0.1614. This would mean another wave low has been created and the downtrend can kick in on the hourly timeframe. From an alternative point of view, the RSI is setting up a bullish pattern. Compared to the last swing low last above 0.1600 the most recent wave seems to be higher. The RSI is not doing the same thing. The RSI has made a lower low while the price has made a higher low. This is called a bullish failure swing and can lead to higher prices. I myself believe we need to wait for more confirmation and the price waves are more reliable.
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Additional levels
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