XRP Technical Analysis: Buyers Attempt Redemption

The XRP technical analysis shows a symmetrical triangle in the daily chart, and the recent bull cycle teases a breakout. However, the increased selling at the resistance trendline delays the bullish breakout and teases a bear cycle. So, should you avoid taking an early bullish entry?

Key Points:

Source - TradingView

XRP Technical Analysis

The XRP price action displays a symmetrical triangle pattern forming in the daily chart over the past few months. The recent bull cycle results in an 8.85% jump, creating a bullish engulfing candle to challenge the overhead resistance trend line.

However, the increased selling pressure at the resistance trendline shows bearish influence over the daily candle, resulting in a 1.48% drop. Hence, the market value may drop below the 50-day EMA, once again leading to a bullish failure. Furthermore, the lack of bullish support is evident by the low intraday trading volume during the bullish engulfing candle, which questions buyers' commitment.

If the XRP market value rises above the resistance trendline, the bullish breakout rally will exceed the $0.36 resistance level to challenge the $0.42 mark. However, a reversal in Ripple prices from the resistance trendline will result in a price drop to the support trendline, close to $0.32.

Technical Indicators

The RSI slope shows a zigzagging lateral trend near the halfway line but bearish divergence within the last two peaks. Moreover, the MACD and signal lines avoid a bearish crossover and reflect a revival in bullish prowess. As a result, the XRP technical analysis forecasts a bullish breakout.

Resistance Levels - $0.36 and $0.42

Support Levels - $0.32 and $0.30