Ripple price analysis: XRP/USD returns in the old range amid technical sell-off
|- Ripple’s coin has retreated from the recent high, short-term trend remains bullish
- The critical trendline support is located at $0.2550.
Ripple’s XRP, the third-largest digital asset with the current market capitalization of $11.1 billion, has retreated from the recent high of $0.2618 and settled below $0.2600 handle during early Asian hours. While XRP/USD is unchanged both on a day-on-day basis and since the beginning of the day, the short-term bullish sentiments imply that the coin is vulnerable to further losses. At the time of writing, XRP/USD is changing hands at $0.2570.
Technical picture
XRP/USD has been moving in a tight range with mildly bullish bias since August 29. The coin attempted to break above $0.2600 barrier, but the upside momentum proved to be unsustainable as the price retreated back inside the previous range. Now the strong support is created at $0.2550 by a confluence of the lower line of 4-hour Bollinger Band and an upside trendline from August 29 low. Once it is cleared, the sell-off may continue towards $0.2500. A sustainable move below this handle will open up the way towards August 14 of $0.2392 and psychological $0.2300.
On the upside, the initial resistance is created by $0.2600 with the middle line of 4-hour Bollinger Band located on approach; however, a stronger barrier awaits us at $0.2645, where SMA5100 (Simple Moving Average) 4-hour meets the upper line of 4-hour Bollinger Band.
XRP/USD, 4-hour chart
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.