Please, check out the technical analysis of Ripple’s (XRP) price, which is currently making around $0.66, as reports Dmitriy Gurkovskiy, Chief Analyst at RoboForex.
Ripple (XRP) is trading around $0.6668 as for Thursday, March 22. On H1, one can see the digital coin bounce off the resistance at $0.6900. It’s still above the important support of $0.6500, and while it may steadily slide down, the sells are likely to be quite limited as long as this support is strong, Dmitriy Gurkovskiy, Chief Analyst at RoboForex says.
Previously, Ripple started going up from $0.6200 to reach the range between $0.7000 and 0.7200. Last week the highest high was observed at $0.7258, and this is where the downside correction started. Overall, the coin is still more influenced by the bulls.
Speaking midterm, the support at $0.6500 still looks quite strong to hold the bears’ movement. Another support lies at $0.5342, and even if a massive selloff starts, the buyers will get active again after the fundamental background fades out. So, to recap, the major support is at $0.6500, with the resistance being at $0.6900.
The MACD is still in the negative territory, without giving any strong sell signal, which can be interpreted as a reason for a reversal. The Stochastic is rising to the positives, although the buy signal is not confirmed by the volumes. This makes the overall background quite neutral, although there’s a piece of fundamental news supporting the cryptocurrency.
During the preliminary phase of the G20 in Buenos Aires, Argentina, some government leaders said cryptocurrencies posed no threat to global economy and financial stability. In particular, Mark Carney, Governor of the Bank of England and Chair of the Financial Stability Board, set it clearly that even during the strongest crypto boom the weight of cryptocurrency market was no more than 1% of the overall GDP, which is obviously too little to influence fiat currencies and real economies.
Generally, it was the cryptocurrency thing that became the most important during this G20, with the parties having to arrive to a consensus regarding this question. Now, it can be seen that the potential of crypto as a payment method is viewed neutrally. The global economists are not worried too much about everything becoming digital, from financial markets to all the areas of the real life. Crypto is regarded as a normal thing posing no threat to anything, as long as it is not related to speculations or additional risks of any kind.
According to G20, cryptos are no currencies for now, as they do not have such functions the fiat money does. The most important thing is, however, that the global community agreed that cryptocurrencies do not threaten the world in any way for now. The world’s economic leaders, who gathered in Buenos Aires, Argentina this week, reached an agreement to keep monitoring the crypto sphere. “We call on international standard-setting bodies to continue their monitoring of crypto-assets and their risks, according to their mandates, and assess multilateral responses as needed”, states the G20 communique. Meanwhile, proposals of cryptocurrency regulations, according to the agreements reached, are to be developed by July 2018.
Disclaimer: Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.
Dmitriy Gurkovskiy is a senior analyst at RoboForex, an award-winning European online foreign exchange forex broker.