Ripple Price Analysis: XRP bulls defend crucial support level, aiming for $0.25
- XRP is currently at a significant support level at around $0.2340.
- A defense of this crucial point would indicate a strong buy signal in the short-term.
XRP is trading at $0.2340 after the notable crash on September 2. Bulls have been able to defend the daily 200-MA several days in a row as the trading volume continues dropping and the RSI gets closer to the oversold zone.
XRP/USD daily chart
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We can see how the 200-MA is acting as a healthy support level, further strengthened by the extended RSI. At the same time, XRP price is getting rejected from the 100-MA, currently established at $0.2439.
XRP/USD 12-hour chart
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The TD sequential sent a strong buy signal on the 12-hour chart at around $0.23. The RSI is overextended and trading volume has been dropping for the past three days. The 200-MA is the one acting as a resistance level here, established at $0.2438.
According to Santiment, the number of users holding 1 million to 10 million coins has increased significantly while prices where going down. Nearly 7 new whales have joined the network in such a short period.Given the increase in buying pressure behind the cross-border remittances token, prices could rise to the next area of resistance around $0.26, right below the 100-MA and the 50-MA, based on the 12-hour chart.
XRP/USD 4-hour chart
Zooming in more, we can see bulls have just established a double bottom that is not fully confirmed. If XRP can close above $0.23, this pattern will further confirm the strong buy signal on the 12-hour chart.
Moving averages are notably higher than the current price on the 4-hour chart and will eventually act as resistance levels.
Author
Lorenzo Stroe
Independent Analyst
Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.
