Ripple Price Analysis: XRP/USD $0.25 beckons as an inverted head-and-shoulders pattern is spotted
|- Ripple believes that crypto lending is the next big thing in the cryptocurrency industry.
- Ripple price stalls at $0.2350, allowing for consolidation above the support at $0.230 in readiness for a breakout towards $0.2500.
The cryptocurrency market is back in its January 2020 bullish phase. Ripple price has not been left out of the bullish frenzy. At the time of writing, XRP is exchanging hands 1.45% higher on the day. The digital asset ascended to highs around $0.2358 after opening the session on Tuesday at $0.2306. Ripple has, however, adjusted to the market value of $0.2336 amid a building retracement momentum and shrinking volatility.
Ripple at the frontline of the digital lending industry
Ripple highlighted the digital lending industry as the next frontier in the cryptocurrency industry in its fourth-quarter XRP Markets Reports. The industry, currently valued at $5 billion rapid growth has been tied “low-interest rates in many fiat currencies, a growing number of digital asset market participants seeking working capital, and an increasing number of long-term digital asset holders looking to generate yield. While concerns over a ‘crypto credit bubble’ have started to emerge, the growth potential for this market remains substantial into this year and beyond.”
Ripple price technical picture
As seen on the 2-hour chart Ripple’s rally from levels under $0.2150 seems to be dying down at $0.2350. The price is trading above the simple moving averages, where the 100 SMA at $0.2286 and the 50 SMA at $0.22245 are now positioned to offer support in the case of a reversal. Consolidation is expected between $0.23 support and the short term resistance at $0.2350.
The completion of the formation of an inverted head-and-shoulders pattern is likely to stir growth towards $0.25 and open the path in the direction of $0.30. Other technical levels such as the RSI signal that sideways trading is the next course of action while the Elliot Wave Oscillator signals that the bulls are largely in control.
XRP/USD 2-hour chart
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