XRP Faces Short-Term Setback: Will It Bounce Back To $3.00?
- Despite a 2.37% drop to $2.41, Ripples XRP long-term bullish trend persists, with no lower lows or highs on the weekly chart.
- Testing support between $2.33 and $2.40, XRP may bounce if it holds these levels, but a break could lead to further declines.
- Breaking above $2.62 could drive XRP toward $3.00, while resistance at $2.90$3.00 remains a crucial obstacle.
Ripple XRP has been down by 2.37% and as of press time trading at $2.41 with the past one week showing a decline of over 4.67%. None the less, there is a certain long-term bullish trend of the XRP, which is why the recent short-term setbacks should not be overemphasized. The weekly chart has no lower lows or lower highs; this still supports the above view of the medium-term trend.
Source: TradingView
XRP Faces Short-Term Setback
In the last few days, the price of XRP has been subjected to a short term bearish pull back while being in the midst of an upward trend. The altcoin is then touching the major support level at between $2.33 and $2.40. This is the level that if XRP manages to hold above this range, then we may see the price bounce higher. But if it cannot hold these levels the next level of support is seen between $2.00 and $2.23.
A break and close above $2.40 could open up a further advance. The following major retracement level is at $2.62. A move through this level could open the way for token to retest $3.00 and possibly its all-time high at $3.25.
Certainly, the most important resistance level at which traders and investors will be eyeing is the $2.90 to $3.00 range. A price rejection may happen if coin is unable to penetrate this range. On the flip side, support is still found at $2.33 and $2.40. A break of this level would allow for more downside follow through with the next level of support being seen between the $2.00 and $2.23.
Besides these critical levels, the upper boundary of the current XRPs trend channel also strengthens this. If the price breakout occurs, then an aggressive rally may follow but this all depends on the market trends of the coming days.
Critical Support and Resistance
Alan Santana has posted his analysis and revealed that at the end of the yesterday trading, XRP was in a neutral zone. The market conditions are still the same and there is potential for cryptocurrency to hit new highs soon.
The analyst pointed out the levels for short term failure that can be seen on the chart. A break below $2.36 or $2.17 in the near future will put a question mark on the current bull run. Any technical outlook bullish would be rendered entirely null if price closes below $1.96 on a daily basis. On the other hand, if token is to trade above these levels, then the bullish trend is still very much in play.
Traders should pay particular attention to these levels in the next few days. If XRP can manage to stay above $2.40, a move towards $2.62 may very well kick off a recovery. But any move below $2.33 should open up further losses.
Although Ripples XRP has experienced a short term bearish trend, the long term trend line is still bullish. If the price remains above the main support levels, the price may rise to $3.00. Traders will need to look at the price behavior around $2.40 and $2.62 to see the next direction likely to be taken. The situation remains promising, and short-term fluctuations will be decisive for the further actions with XRP.
Read more: https://www.tronweekly.com/xrp-faces-short-term-setback-will-it-bounce/
Text source: TronWeekly
