- XRP price continues to recover from Monday’s sell-off.
- Buyers look to extend the bounce from Tuesday into Wednesday.
- Critical resistance levels ahead threaten to terminate the recent rally.
XRP price collapsed below three crucial Ichimoku support levels on Monday: the Tenkan-Sen, Kijun-Sen, and top of the Ichimoku Cloud (Senkou Span B). The most significant of these drops was the move below the most substantial level of the Ichimoku system, Senkou Span B. Bulls kept XRP price above Senkou Span A despite the intense selling pressure and are now positioned to test those former Ichimoku support zones as resistance.
XRP price swiftly rebounds off of vital support, bullish conviction now tested
XRP price is approaching a make or break point for buyers. The recent fall below the top of the Cloud (Senkou Span B), the Tenkan-Sen, and Kijun-Sen has resulted in those levels acting as the primary resistance cluster on the daily chart. While the rally is impressive and no doubt bullish – it could quickly be terminated if bulls fail to crack above those three Ichimoku levels in the $0.750 to $0.785 value area.
The most important goal to complete for bulls is a daily close at or above $0.79. In that scenario, XRP price would return above the Ichimoku Cloud, and the Chikou Span would remain above the bodies of the candlesticks and in open space. It would be the first true Ideal Bullish Ichimoku Breakout XRP has seen since November 4, 2021, and only the second since August 9, 2021. A push to test $1 would be highly likely if $0.79 is reached as a daily close.
XRP/USD Daily Ichimoku Kinko Hyo Chart
However, downside risks remain. With XRP price inside the Ichimoku Cloud, indecision is now the name of the game. While it may look like bears have an easier road to taking control due to the proximity of XRP to the bottom of the Cloud, their road is much more difficult. Until the Chikou Span closes below the bodies of the candlesticks, XRP remains within some significant support. Bears would have to push XRP price below the $0.70 and $0.60 zones to gain control
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Prisma price tanks 25% after nearly $9 million exploit
Prisma Finance (PRISMA) is being exploited, and the attacker has so far pulled $9 million in Ethereum from the borrowing protocol. Prisma asked vault owners to take the necessary steps to protect funds from the ongoing attack in an official tweet on X.
Meme coins gain traction after SEC’s partial win in Coinbase lawsuit: DOGE, SHIB, BRETT, POPCAT, BODEN
US SEC pocketed a partial win in its lawsuit against Coinbase, ushering a correction in crypto prices on Thursday. Despite the broad pullback, prices of meme coins like Dogecoin, Shiba Inu and Solana-based BRETT, POPCAT and BODEN increased.
Ondo moves $95 million worth of OUSG assets to BUIDL as tokenized fund attracts $245 million since debut
Ondo Finance (ONDO) announced on Wednesday that it's shifting about $95 million worth of its OUSG's underlying assets to the BlackRock USD Institutional Digital Liquidity Fund (BUIDL).
XRP price stuck below $0.65 resistance, Ripple lawsuit could suffer from Coinbase defeat
XRP price falls slightly to $0.61 on Thursday after its landmark programmatic sales ruling in July, which gave Ripple a partial victory against the US SEC, failed to reverberate in a similar legal battle between the regulator and crypto exchange Coinbase.
Bitcoin: BTC may have recovered, but is it out of the woods?
Bitcoin’s (BTC) upward momentum has shown a significant decline for the past two weeks or so. This development led to a bearish signal on the weekly and an uncertain outlook on the monthly.