Ripple price analysis: XRP/USD inches closer to a breakout – Bollinger Band consolidation
|- SendFriend xRapid XRP powered transfers will kick off later this month.
- Consolidation comes after XRP plunged from high close $0.47 and tested support at $0.38.
XRP/USD is currently searching for key support and a short-term that will allow it to reverse the trend significantly above $0.400. The declines in the past couple of days have demoralized and eventually paralyzed the buyers who seem to have hibernated. At the same time, there is just enough buying power sustaining XRP/USD above the weak support at $0.3900.
Ripple as a company continues to work on expanding both its RippleNet and xRapid remittance solutions to banks and payment providers around the world, Recently, the blockchain solutions provider opened an office in Zurich Switzerland. The local office will focus on the growing institutional client base. Moreover, SendFriend, Philippines based blockchain startup which partnered with Ripple earlier in the year has confirmed that xRapid XRP powered transfers will kick off later this month.
Read more:
Ripple sets foot in Zurich, Switzerland: Targets institutional investors
Ripple price technical picture
Looking at the hour chart for XRP/USD trading pair we see an asset that is in the middle of a boring consolidation phase. The consolidation comes after XRP plunged from high close $0.47 and tested support at $0.38. Attempts to recover have been thwarted by the selling pressure and an overall decline in the interest for XRP. On the upside, gains have been capped by the Bollinger band 1-hour upper. On the downside, the Bollinger Band (BB) constriction is offering support. The narrowing BB gap shows that this consolidation is nearing a breakout.
However, Ripple needs a catalyst to be able to reverse the trend and eventually reclaim $0.4000 support. The strength of the break above $0.4000 will determine whether a correction to $0.5000 is a possibility or XRP would just defend the support. For now, the price will continue trading sideways below the $0.4100 resistance and possibly keep above the support at $0.3900.
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