While other major assets such as Bitcoin had Ethereum registered lower highs over the past 24-hours, XRP witnessed a new low at $0.8160. The bullish momentum is somewhat fractured at this momentum but the short-term chart indicated a possible bullish opportunity. XRP had a market cap of $42 billion at press time, and it was ranked 7th in the cryptocurrency charts.
XRP 1-hour chart
XRP/USDT on Trading View
During XRP’s recovery from $0.85, the asset struggled to hold a position above the 0.61 Fibonacci line, on the long-term scale. A rejection was met by the 50 period-Moving Average as well, which led to a new low for XRP at $0.8150. The price consolidates under the resistance of $0.975 at the moment, but there are few bullish signs for the asset.
A clear bullish MACD divergence can be observed for the coin, which reduces the possibility of further drawdown in the short term. Factoring in that condition, XRP will likely position itself above immediate resistance at $0.975, before testing resistance at $01.05.
Market Rationals
XRP/USDT on Trading View
Awesome Oscillator suggested that bullish momentum is currently creeping up but it is not dominant. Relative Strength Index or RSI is suggestive of improving buying pressure, but selling pressure is still evident, hence the price would consolidate in spite of recovery.
Stochastic RSI is current over-bought hence a pullback to immediate support at $0.90 might come into play before the price picks up a position above $0.975.
Conclusion
While the asset should re-test a position near $1.05 in the next 24-48 hours, it is difficult to suggest a long position considering the higher risk factor of another drawdown.
