XRP set to flip five-month-long resistance but remains vulnerable to price swings
- XRP became a means of payment on Enterix, a Romanian ticketing platform, after it added support for Binance Pay.
- XRP is potentially repeating a one-and-a-half-year-long bearish pattern resulting in the overselling of the asset.
- XRP’s volatility is currently at a four-month high, which can trigger a price swing in the upward direction.
Ripple is seemingly in its good days at the moment as it is finding positive development on multiple fronts. The Securities and Exchange Commission (SEC) lawsuit against Ripple is coming to an end soon; the price of its token XRP recently shot up by more than 65%, and it also expanded its user base as a means of payment.
XRP making ripples in Romania
In a tweet on Friday, Binance head CZ announced the addition of Binance Pay as a payment medium on Enterix. With the biggest ticketing platform in Romania supporting Binance Pay, over 40 cryptocurrencies, including the likes of XRP, Dogecoin and more, can be used to buy tickets.
#Binance Pay is now available on the biggest ticketing platform in Romania - Entertix. You can buy tickets for the team we sponsor @RapidFC1923 and many other events. Pushing adoption. pic.twitter.com/MHeFCmRD8k
— CZ Binance (@cz_binance) October 13, 2022
Along with this, XRP’s price has been having a fairly good run as the altcoin noted an increase of 65.4% over the last month. Bringing the price to $0.49, the buying pressure is cooling down, which might set off a pattern that has been XRP’s bane for almost 18 months now.
Right after hitting the overbought zone – above 70.0 on the Relative Strength Index (RSI) – the RSI began trickling down toward the lower threshold. This results in excessive selling pressure and comes to an end after around three months.
If the pattern is repeated, XRP could be looking at a severe price fall by the end of the year, but bullish factors such as the Summary judgment of December might fight the bears. Since the broader market isn’t reacting negatively, XRP might have the chance to change gears and rally on to flip the $0.58 resistance into support.
Can it, though?
Beyond the unpredictability of the global markets, XRP’s volatility is extremely high at the moment. Touching levels that were last observed back in May, XRP is vulnerable to price swings, which can be in either direction.
XRP volatility
If the persisting bullish factors sustain, the swing could potentially be upward, providing support to the altcoin to close above the $0.58 resistance.
If things take the opposite route, the year-and-half-long pattern might be repeated again.
Author
Aaryamann Shrivastava
FXStreet
Aaryamann Shrivastava is a Cryptocurrency journalist and market analyst with over 1,000 articles under his name. Graduated with an Honours in Journalism, he has been part of the crypto industry for more than a year now.
