Before the slump accelerates losses, Ripple is in an unloading zone for XRP bulls.

  • The price of ripple fell below an ascending trend line that served as an intermediate.
  • The 55-day SMA is acting as a temporary floor, causing the market to bounce.
  • With this window of opportunity, bulls should collect their winnings and flee before the price of XRP plummets by 18 percent.

The price of ripple fell below an ascending trend line that served as an intermediate.

The 55-day SMA is acting as a temporary floor, causing the market to bounce.

With this window of opportunity, bulls should collect their winnings and flee before the price of XRP plummets by 18 percent.

After Russia's invasion of Ukraine, Ripple's (XRP) price action breaks below an intermediary ascending trend line that constituted the backbone of the current uptrend. Despite the fact that the trend line gave support for a comeback yesterday, rejecting bears, the present losses in European stock markets have generated leverage in safe havens and given bears the upper hand in risk assets such as cryptocurrencies. The 55-day Simple Moving Average (SMA) around $0.73 is now giving support to a pullback, but with non-farm payrolls due out today and a potentially turbulent weekend in Ukraine, anticipate that support to be shattered later today, with XRP price action falling as much as 18 percent to $0.62.

It's time to put on your parachute and run for the exit.

The price of ripple is in perilous zone for bulls, as bears are regaining control heading into the weekend. The price has been trading to the lower for the third day in a row today, as bulls have been unable to break over $0.78 and capture $0.80 to the upside. As negative pressure grows, a short-term supportive trend line has been broken to the lower, thereby halting the rebound bounce that began after Russia invaded Ukraine.

For the time being, XRP bulls see the 55-day SMA holding and providing a bounce on a test, but the pressure is building with lower intraday highs as safe havens are highly bid, and the dollar rise is adding fuel for bears to push farther down. Expect a decline to $0.70 if $0.73 is broken to the negative. Once below that, there isn't much stopping a slide to $0.62, which was the February 24 low and caught the falling knife movement — to the tick on that day, but represents an 18 percent loss for XRP compared to where we are now.

xrp
XRP/USD daily chart

A cease-fire would be welcomed by markets as a way to de-escalate the present crisis and provide some relief. Asset classes frequently move in one way like an elastic band, eventually needing to partially unwind a stretched position, and XRP price behavior is no exception. Expect a run up to $0.78 or $0.80, with a test at $0.8030, which is the double peak from February 21 and March 1.

** Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of USA GAG nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

Follow us on Google News

Filed under

Recent Search