- XRP price has retraced its move over the past week, undoing the 12% gains.
- A support confluence at $0.340 stands between Ripple bulls and a 10% move.
- If buyers seize control, the altcoin could rally 10% and retest the $0.380 hurdle.
XRP price, like many altcoins, has undone its gains witnessed over the last week. This development comes as the Bitcoin price struggles to move above a historically significant barrier. If bears take control of BTC, things could reflect the same for Ripple and other altcoins as well.
XRP price needs to make a decision
XRP price broke free from a two-month declining resistance level on July 18 as it rallied 6.3% in a single daily candlestick. As a result, Ripple set a swing high at $0.380, which in hindsight, was a local top for this rally, which started on July 13.
Since the July 13 swing low at $0.301, XRP price has set up multiple swing points in the area, extending from $0.301 to $0.311. This zone can be termed a liquidity pool and is likely what is preventing Ripple from going lower.
A breakdown of the support confluence consisting of the declining trend line and the horizontal foothold at $0.340 will confirm the directional bias for XRP price. Assuming buyers fail to defend the aforementioned barrier, investors can expect a quick 10% drop to $0.301.
XRP/USDT 1-day chart
On the other hand, if XRP price manages to bounce off the $0.340 support confluence, there is a high chance of bulls taking back control. In such a case, investors can expect XRP price to rally 10% and retest the $0.380 hurdle.
In a highly bullish case, a flip of $0.380 could lead to a sweep of the double top at $0.387, bringing the total run-up to 14%.
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. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. 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 FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Bitcoin Price Forecast: Analysts anticipate increased volatility as the US presidential election looms
Bitcoin price teased its all-time high of $73,777 last week but declined to trade below $69,000 on Monday. Analysts suggest that market volatility is expected to rise as the US presidential election approaches.
Litecoin poised for double-digit decline after breaking ascending trendline
Litecoin breaks and closes below an ascending trendline, signaling a change in market structure. On-chain metrics paint a bearish picture, as LTC’s dormant wallets are active, and the NPL indicator shows a negative spike.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC, ETH and XRP decline ahead of US elections
Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) all faced resistance at crucial levels ahead of the US Elections, leading to a price decline. As of Monday, they neared key support levels, and a firm close below these marks could signal further declines.
21Shares files S-1 for XRP ETF amid ongoing tension between Ripple and SEC
21Shares filed an S-1 registration with the Securities and Exchange Commission (SEC) on Friday for an XRP exchange-traded fund (ETF). While the chance of approval is slim with the current SEC administration, the landscape could change after the upcoming elections.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.