XRP Explodes 9% Weekly but Is a Correction Imminent? (Ripple Price Analysis)

21 May 2023

in XRP

Reading Time: 3 mins read

Ripple’s price is finally showing some bullishness following 4 weeks of downward movement. However, there are still some concerning signs on the charts.

Technical Analysis

By: Edris

XRP/USDT Daily Chart

The price has rebounded from the $0.43 support level, with the key 200-day moving average located around the same level. Currently, the 50-day moving average is being tested around the $0.47 mark, but XRP has yet to break above.

If a bullish breakout were to occur, a rally toward the $0.6 resistance level would be the most probable scenario. On the other hand, a drop below the 200-day moving average would be disastrous, as a decline toward the $0.3 level and even lower would become more likely. This would likely prolong the bear market.

The RSI indicator has also risen above 50%, displaying bullish momentum at the moment.

Source: TradingView

XRP/BTC Daily Chart

Against BTC, XRP has finally broken out of the large descending channel after more than 6 months. The price has surged above the 50-day moving average located around the 0.000017 mark and is currently attacking the 0.000018 resistance level.

The 200-day moving average trending around the 0.000019 price point could be the next target in case the price breaks through the 0.000018 level. On the other hand, a drop back inside the channel could lead to a crash toward the 0.000013 level.

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Judging by the momentum signal by RSI, the bullish scenario seems more likely.

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Source: TradingView

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Cryptocurrency charts by TradingView.

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