Coingape - 8/6/2020 3:25:10 AM - GMT (+0 )
- Ripple price stares into consolidation based on the sideways trending MACD.
- XRP/USD could soon spike past $0.35 following a tentative symmetrical triangle breakout.
Ripple hit a monthly high at $0.3278 during the weekend session. The magnificent rally was then followed by a reversal that tested $0.24. Since then, effort and attention have been channeled towards not only bringing down the resistance at $0.30 but also sustain gains towards $0.40 and $0.55 respectively.
At the time of writing, XRP is trading at $0.3005. The immediate upside is limited by the 100 Simple Moving Average (SMA) at $0.3009. The shorter-term 50 SMA ($0.3031) is also in line to hinder growth above $0.30.
On the downside, immediate support is expected but not guaranteed at $0.30. Note that, the price is likely to remain pivotal at this same level in the current and even the upcoming European session.
Read also: Ripple Price Forecast: XRP/USD New Bullish Setup Leaves Bitcoin and Ethereum In the Dust
Technically, sideways trading is likely to take place based on the horizontally trending Moving Average Convergence Divergence. As long as the indicator remains stable at the midline, XRP/USD would favor consolidation. Moreover, the MACD can be used as a signal for the direction the price would take after the consolidation.
XRP/USD 1-hour chart XRP/USD price chart by TradingviewOn the other hand, the Relative Strength Index (RSI) shows that buyers are likely to lose traction in the coming sessions. The RSI is trending downwards under the midline (50). Continued downward action is likely to encourage more sellers to join the market, forcing XRP through expected support areas at $0.30, $0.28 and $0.24.
On the bright side, the formation of a symmetrical triangle pattern suggests a breakout is around the corner. And if followed through, it could result in massive gains above $0.3278 and shift the target to $0.35 and $0.40 respectively.
Read more: XRP Co-Founder Dumping $1.74 million Daily in Addition to Ripple’s Escrow: Report
Ripple Intraday LevelsSpot rate: $0.3005
Relative change: -0.0027
Percentage change: -0.92
Trend: Bearish biased
Volatility: Low
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