Ripple price analysis: XRP/USD nurtures breakdown towards $0.24
|- Chopping continues as XRP/USD loses 1.5% of its value on the day.
- Ripple is likely to explore lows towards $0.24 but a reversal is in the offing.
Ripple bears have remained active since the Asian session on Tuesday. A flash drop on Monday smashed through the support at $0.25. XRP/USD tested $0.24 but the recovery from the dip stalled at $0.2550.
Continued selling activity has pushed Ripple under $0.25 again. Short-Term support is being established at $0.2450 and is likely to stop the losses. Moreover, I expect XRP to start reversing the trend upwards anytime from now especially with the Relative Strength Index (RSI) showing short-term oversold conditions.
The other indicator for a possible reversal is the Moving Average Convergence Divergence (MACD). The signal is turning bullish even as the MACD changes course to the upside. On the flip side, the still widening gap between the 50 SMA and the 100 SMA on the 1-hour chart suggests that the sellers’ influence could last longer.
On a brighter side, the formation of a falling wedge pattern hints that eventually, a reversal will send BTC/USD significantly above $0.30.
XRP/USD 1-hour chart
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