Ripple Technical Analysis: XRP/USD slumps within the descending channel, is $0.28 within reach?
|- Ripple is seeking support following yet another rejection from the weekly high at $0.2925.
- The descending channel support must be defended or else XRP could dive to retest support at $0.28.
Ripple has made numerous attempts at clearing the resistances at $0.2920 and $0.30 but to no success. Investors continue to endure a trip downstream as sellers force XRP through critical support levels $0.29, $0.2880 and $0.2860. At the moment, Ethereum is trading at $0.2850 following a bounce off the descending channel support.
From a technical perspective, Ripple is poised for losses in the near term. These declines are highlighted by the RSI as it closed in on the oversold region. In addition, the MACD brings to light the downward momentum even more by dropping deeper down in the bearish region. An illustrated bearish divergence from the MACD emphasizes the influence the bulls have on the price.
For this reason, it has become apparent that XRP will continue with the losses in the near term. To avoid the further bleeding, support at $0.2840 must defended. Moreover, the channel support must remain intact. Otherwise, XRP could spiral to retest support at $0.28 before it makes another attempt at breaking above $0.30.
XRP/USD daily 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.