Strong pressure from the Bears will break down the $0.39 level and XRP price will target $0.35. Should the Bulls defend the $0.39 demand level and their momentum increase, the price may rally towards $0.42.
By Azeez Mustapha
Updated
2 mins read
Supply levels: $0.42, $0.46, $0.50
Demand levels: $0.39, $0.35, $0.32
XRP/USD is on the ranging mode in the medium-term outlook. Formation of the ascending channel was noticed on the 4-hour chart in the XRP market last two days. XRP/USD price was increasing towards the previous high of $0.46 before it was interrupted by the Bears. XRP price returned to touch the demand level of $0.39 and the lower trend line of the channel.
On May 20, the coin broke out of the channel at the lower trend line by the Bears but lost the momentum to drive the coin down and the Bulls also have not got enough pressure to drive up the XRP price. The XRP started consolidating at the $0.39 demand level.
The 21 periods EMA and 50 periods EMA are flat horizontally at the $0.39 level without giving any specific direction and the coin consolidating directly on the 21 periods EMA; these indicate that consolidation is ongoing in the XRP market.
The Relative Strength Index period 14 is above 50 levels with the signal line flat at the level. Strong pressure from the Bears will break down the $0.39 level and the coin will target $0.35. Should the Bulls defend the $0.39 demand level and their momentum increased, the price may rally towards $0.42.
XRP/USD is consolidating on the short-term outlook. The Bulls placed the XRP price above the $0.42 level on May 19. The following day May 20, a bearish engulfing candle emerged and the XRP price declined to $0.39 and the coin commenced consolidating at the $0.39 demand level.
The 21 periods EMA and 50 periods EMAs are interlocked to each other and it is flat horizontally at the level, the XRP price is trading directly on the two EMAs which confirm the ongoing consolidation in the XRP market. Traders are advised to watch out for the breakout before taking a position.
Azeez Mustapha is a specialist in Computer Studies (including DTP), Forex and Crypto trading professional. Being expert technical and currency analyst, as well as experienced fund manager and author of several books, Azeez places strong focus on crypto market studies conducting comprehensive price analyses and sharing forecasts of presumptive market trends.
