XRP price may decrease further as long as the Bears maintain or increase their pressure, and reach a previous low of $0.35. In case the Bulls further defend $0.39 demand level, XRP price may bounce and rally towards $0.46 level.
Supply levels: $0.42, $0.46, $0.49
Demand levels: $0.39, $0.35, $0.29
On the medium-term outlook, XRP/USD is bearish. XRP/USD has been on a bullish trend for more than three days, the bullish trend placed the price above the $0.46 level yesterday. The Bears rejected the further price increase and a big bearish candle emerged and the price dropped.
As it was predicted last time, the demand level of $0.42 did not hold, the bears increased their pressure, XRP/USD price decreased further and it reached $0.39 demand level. The Bulls quickly reacted against this decrease in XRP price and the price was pushed back, this was noticed as the big bearish candle turned to lower long-tailed bearish candle.
The crypto broke down $0.46 level, penetrated the two dynamic support levels (21 and 50 EMAs) and penetrated the barrier at $0.42 former demand level. The coin is trading below the 50 periods EMA and 21 periods EMA. The relative strength Index period 14 is at 40 levels with the signal line pointing down as a sell signal.
XRP price may decrease further as long as the Bears maintain or increase their pressure, and the price may reach a previous low of $0.35. In case the Bulls further defend $0.39 demand level, XRP price may bounce and rally towards $0.46 level.
On the short-term outlook, XRP/USD remains bearish. The Bullish momentum could not continue after it broke up the supply level of $0.46. A bearish engulfing candle formed and the bearish momentum was triggered which pushed down the price below $0.42 level, the bearish momentum extended to $0.39 level before it was pushed back.
The 21 periods EMA has crossed the 50 periods EMA downside, the XRP price is trading below the two EMAs. The Relative Strength Index period 14 is below 40 levels bending down to indicate sell signal.
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.
