XRP price clears one of two major hurdles, as Ripple bulls gear up for $1.27

XRP price has rallied 20% over the past three days and is currently taking a break.
While the bullish momentum recedes, the $1.01 to $0.964 support area must hold.
A breakdown of the $0.89 support level will create a lower low, invalidating the bullish thesis.

XRP price has been slowly building up steam as it traded below a crucial support floor for five days. However, October 1 saw cryptocurrency markets rally, which caused the remittance token to propel past a stiff blockade. Investors should note that Ripple needs to stay above this barrier for further gains.

XRP price prepares for second leg-up

XRP price rose 20% between September 29 and October 2, pushing it past the $1.01 to $0.964 support area. This move comes after Ripple bulls were unable to breach the said zone for roughly five days.

While significant, XRP price needs to stay above this range to have any chances of heading higher. Even if the bears push Ripple lower, a quick recovery will help maintain the bullish momentum of the recent development.

In this case, XRP price could rally 26% to tag $1.27 if it manages to breach the $1.09 supply barrier. Beyond $1.27, the remittance token could retest the September 6 swing high at $1.31 and make its way into the Fair Value Gap (FVG), ranging from $1.3 to $1.60.

XRP/USDT 1-day chart

Regardless of the bullish development seen over the past 24 hours, things could turn ugly if the bears knock XRP price below $0.964. A decisive close below this level will indicate a weak buying pressure.

However, a convincing close below the $0.89 support level will create a lower low, invalidating the bullish thesis.

Such a move is likely to trigger further descent to $0.84 or $0.77.

Share: Cryptos feed

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram