XRP Price Approaches $0.50; Is Bounce Back Feasible?

XRP price gains after two-day of falls as the broader market trend remain weak. Further, the recent price action indicates the sellers are not ready to step back any time sooner. However, the XRP price recovered from the February 2021 lows with strong buying momentum. Next, the probability of any further upside moment would depend on how the price reacts toward the critical resistance hurdle.

• XRP price gains more than 10% on Friday amid broader crypto market recovery.
• Expect further upside if the price gives weekly closing above the 200-day EMA.
• The higher trading volume supports the current price action.

XRP price mints gain

Currently, the XRP price is enjoying a relief rally but the path to further recovery remains uncertain. As the price is still struggling to recover above the immediate downside trajectory. To the upside, XRP faces several crucial hurdles that morphed into resistance after the sharp correction this week.

Source: Trading view

The price roll down multiple stoppages on the weekly chart. The bearish outlook holds strong for the coin, as a breakdown of the crucial 50-day EMA (Exponential Moving Average) at $0.54 still holds true.

Source: Trading view

On the daily chart, the XRP price has dropped 55% from the swing highs of $0.91 made on March 28. In addition to that, the long-time horizontal support zone placed at $0.59 was broken on May 9. XRP slipped to test the 18-month lows of $0.33.

The panic selling mode in the broader crypto market added to the woes of the already depreciating asset. Moreover, the trading volume fully supported the downswing with a promise to explore the $0.26 level, the levels last seen in January 2021.

On the other hand, a spike in buying orders could challenge the prevailing trend. The price could bounce back to recoup Wednesday’s high of $0.52. Next, an acceptance above the mentioned level could see $0.60 in the next few session.

The Relative Strength Index (RSI) attempts to move above the average line. It reads at 28.

As of press time, XRP/USD reads at $0.42 with a gain of 10.94% for the day.

Rekha has started as Forex market analyst. Analyzing fundamental news and its impact on the market movement. Later on, develop an interest in the fascinating world of cryptocurrency. Tracking the market using technical aspects. Exploring on-chain analysis to track the market.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.