Ripple update: XRP/USD bulls crippled by sudden reversal; what’s next?
|- Bitcoin instigated rally revived formidable gains across the board.
- A reversal above $0.4 will allow the bulls to regain confidence and push for gains towards $0.5.
Ripple along with other major cryptocurrency fell in Bitcoin’s bear trap. The Bitcoin instigated rally revived formidable gains across the board. Ripple and Ethereum easily became the most improved altcoins on the market. Ethereum corrected towards $300 while Ripple approached $0.5.
The entire crypto market corrected upwards with the market cap rising to $250 billion on May 16 while the 24-hour trading volume at $119 billion. Due to the sell off and investors cashing in for profits, the market cap has thinned to $236 billion. Bitcoin’s dominance on the market has also decreased to 56.3% after almost hitting 60% in the last few days. Ripple’s market cap also corrected higher hitting $19 billion on Thursday with its trading volume rising to $5.8 billion. Both the market cap and the trading volume have since decreased to $16 billion and $4.3 billion respectively at press time.
Ripple has been a victim to the selloff in the market with declines testing the levels below $0.40. Meanwhile, the rising trendline is preventing further dips that are likely to lead to more breakdown below $0.36. In spite of break down, Ripple is trading above both the 50 Simple Moving Average (SMA) and the 100 SMA 4-hour.
Looking at the chart, we see Ripple continuing to make losses in the coming sessions. The slow stochastic oscillator is entering the oversold region to show the bears have full control. A reversal above $0.4 will allow the bulls to regain confidence and push for gains towards $0.5 once more.
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.