Ripple (XRP) is attracting renewed interest from savvy investors, approaching a key resistance area post recent gains. Technical analyses hint at a potential bullish rebound, highlighting crucial levels to watch for seizing XRP opportunities. Stay informed and ready to capitalize on the next moves in the XRP market.
While volatility rocks the cryptocurrency market, XRP stands out. Ripple’s cryptocurrency has maintained a relative stability in recent months, notably benefiting from obtaining a regulatory license in Dubai. Today, XRP is up nearly 7%, approaching a key technical resistance zone.
On the daily chart, it can be seen that XRP is moving within an uptrend channel, while forming a potential “head and shoulders” pattern. After testing the support around 2 dollars, the price has rebounded to 2.45 dollars and is now approaching a major resistance around 2.52 dollars, corresponding to the 50 and 100-day Moving Averages (MA).
A successful breakout above this level could initiate a promising bullish momentum, pushing XRP towards the 3 dollar resistance zone. Breaking this threshold could also lead to a test of the channel’s ascending resistance line, marking the beginning of a generally more favourable trend.
However, a failure to surpass this resistance could result in a pullback to the 2 dollar support zone before a possible resumption of the bullish trend.
The 200-day Moving Average at 1.63 dollars seems to be the last significant support for Ripple to maintain a long-term bullish momentum.
If XRP successfully breaks through its key resistance around 2.54 dollars, the next major resistance level to watch will be the 3 dollar zone, followed by the upper resistance line of the ascending channel. A confirmed breakout could then solidify a new bullish phase, especially if Bitcoin and the overall crypto market maintain their positive momentum.
The RSI showed a bearish divergence since reaching its peak in January. However, a new bullish divergence is emerging with a lower XRP price but a rising RSI score.
Furthermore, the Mean Reversion Price indicates that the 1.83 dollars support can initiate a rebound. The next target is at 2.56 dollars to potentially reach 3.94 dollars upon breaking the 3 dollar mark.
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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