Ripple XRP Continues Consolidating Its Value Above $0.6 New Support Level
Technical indicators show that XRP is likely to consolidate its price inside a range of the $0.60 support level and the 0.65 resistance level.
Ripple XRP was down by 3.45% at 04:52 AM, UTC today , trading at $0.6286 with trading volume of $1,770,624,452, and market capitalization stands at $29,030,014,025, thus ranking it the sixth largest cryptocurrency.
Since June 21, XRP has been in a consolidation phase, although sellers appear to overweigh buyers but gradually decline.
The 4-hour XRP/US Dollar chart at Bitstamp exchange shows the presence of the CAH (cup and handle) formation that signals that Ripple cryptocurrency is in a correction phase (trend continuation) as sellers appear to be slowly gaining the majority. The presence of three black crows (3BC) further confirms the downward trend continuation. However, the downward trends seem to be weak, as indicated by short candlestick bodies and the Doji candlestick pattern that indicates a relative strength ratio. Both sellers and buyers try to steer the price in a particular direction.
Ripple appeared to have formed a death cross, as shown by the 50-day moving average crossing below the 200-day moving average. This signals the presence of a bear market, which is further confirmed by the MACD lines that moved below the 0-level, though the convergence of two lines signals a weak downtrend as buyers try to bring the prices upwards.
On July 9, Ripple has been considered to form a pennant pattern and, therefore, could reclaim an upward trend, trading at the 0.6447 level. But its hopes were thwarted again a few days ago that saw the cryptocurrency declined its value, and is currently trading at $0.62.
Meanwhile, crypto has been unmoved by recent events, thus consolidating its price nicely. Since the beginning of 2021, the value of XRP stood at about $0.22, and after a few months, its price climbed to an all-time high of $1.84 on April 16. On May 19, the entire crypto market crashed and consequently wiped the value of XRP by half. However, the Ripple price has continued to decline since then as the value of the entire crypto tokens have not recovered from the recent crash.
Although the price of XRP has been adversely affected by the ongoing legal dispute with the US SEC and consequently delisting by several exchanges, so far, Ripple cryptocurrency has not vanished.
Crypto has emerged as one of the most promising investments this year. Unlike Bitcoin, Ether, and other big crypto tokens, XRP does not market itself with its decentralization. Instead, Ripple is closely associated with many banks, investment firms, and organizations worldwide, and its influences from outside companies have been its key success.
While it is difficult to predict the value of XRP because of the ongoing legal dispute and current regulatory concerns facing the crypto market, Ripple cryptocurrency is likely to consolidate its price within the range of the $0.65 resistance zone and the $0.60 support zone.
The bear market can be invalided if buyers manage to overpower sellers and steer the price up.
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