Ripple Price Analysis: If 0.17 breaks to the downside it could mean trouble
|- Ripple trades 0.22% lower on Friday as sentiment turns weak.
- The price has converged into a nice channel formation but the low is under threat.
XRP/USD 4-hour chart
Ripple is not looking very bullish today as the price rejected the orange 200 4-hour simple moving average on Friday afternoon. The price is now heading toward the bottom of the channel formation and could even break the blue 55 4-hour exponential moving average.
Away from this, the RSI indicator has also turned bearish with a downward tilt. The indicator was also close to forming a bearish divergence, this is where the indicator makes a lower high when the price makes a higher high but the price fell just shy of making a new high wave.
The volume spiked when the price rejected the 200 SMA and now looks slightly lacklustre. If the price breaks 0.17 then the market will confirm the bearishness a new lower high lower low formation would be created. Overall the pair is still in an uptrend but the momentum looks like its dropping, a break of the channel and 0.17 level would confirm this.
 (6)-637215357704811450.png){kind=link}
Additional levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.