- Ripple expands its remittance services to China with a new Shanghai office.
- XRP/USD strongly supported; a bullish breakout looms.
Ripple price has remained literally unchanged since the price analysis I published earlier today. At the time, the price was sitting comfortably above $0.30 and at press time, XRP is exchanging at the same level. An attempt to corrected above $0.3060 was thwarted by selling pressure.
Ripple adoption has been growing significantly in the past few months. The network’s RippleNet and xCurrent blockchain solutions have been taken up by various banks and other payment institutions around the world. Moreover, the company is expanding its remittance services to China by opening an office in Shanghai. In addition to that, XRP is now available in more than 4,500 shops following the support by CoinGate, a crypto payment processor.
At the moment, Ripple is strongly supported by the 23.6% Fib retracement level (daily timeframe chart) close to 0.3022. This zone has a high concentration of buyers who lack a catalyst to push for sustained correction to the upside. We expect the price to stay above this level throughout the remaining sessions today and the trading on February 5, 2019. There several other weaker support levels that will in hardy in case XRP drops below the above level. The initial one is resting at the previous low on the daily chart. The other support lies at the previous month low which also happens to be last week’s low $0.2834.
Slightly above the current XRP market value, the buyers will encounter acute resistance at the 38.2% Fib level (1-hour range). The zone at $0.3053 also coincides with the 4-hour 50-day Simple Moving Average (SMA) and Bollinger Band in the hourly range chart. If a break occurs above this level, we expect XRP to test the resistance at $0.33 and eventually brush shoulders with $0.35.
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