The price of Ripple (XRP) is in a downward correction as it has fallen to the low of $0.40. The XRP price could retake the previous low at $0.33 if buyers fail to keep the price above the 21-day line SMA.
On May 31, the bulls broke through the moving average line but failed to maintain upward momentum above the recent high. XRP could have reached the 50-day line SMA or the high of $0.60. Today, XRP falls below the moving average of the blue line.
Ripple will continue to fall to the low of $0.33 if the bears break below the support at $0.37. On the upside, the upward movement was limited by the 21-day line SMA. However, if the support at $0.37 holds, the XRP price could rise again. The resulting upward momentum will break the 21-day line SMA and rally to the 50-day line SMA.
Ripple indicator analysis
Ripple is at level 39 of the Relative Strength Index for the period 14. The cryptocurrency is in the downtrend zone as it is trading below the moving averages. The price of the cryptocurrency is below the moving averages, indicating a further decline to the low of $0.33. XRP is below the 40% area of the daily stochastic. The market is in a bearish momentum.
Technical indicators:
Major Resistance Levels – $0.80 and $1.00
Major Support Levels – $0.60 and $0.40
What is the next move for Ripple?
In general, Ripple is consolidating at the bottom of the chart. Buyers and sellers are undecided about the direction of the market. Meanwhile, on May 12 downtrend, a retraced candle body tested the 78.6% Fibonacci retracement level. The retracement suggests that XRP will fall to the level of 1.272 Fibonacci extension or $0.25.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing
Source: https://coinidol.com/ripple-decline-0-33/