The price of XRP has turned cautious after reaching highs of $2.9 six years ago, as the cryptocurrency remains in a descending channel, and resistance. TradingView analysis shows this corrective downtrend to be a temporary consolidation phase that could see the currency rebound to new highs.
XRP hit $2.9, before retracing to $2.25, to $2.5, creating the start of a bear cycle. On the daily chart, we see a descending channel of lower highs and lower lows indicating price movement within the boundaries of that channel. Such structure has served as additional downward pressure occasionally accompanied by the brief but futile attempts at rebounds.
XRP Targets $2.8 Resistance
The analysis pinpointed key support levels at $1.8890 (0.618 Fibonacci retracement zone) and at $1.6 (0.786 Fibonacci retracement zone). Stabilizing price is seen as essential in these areas. If XRP can maintain these supports, it could fish facing into the bullish breakout.
While a violation of these levels could drive bearish momentum to an extreme, price would rally to a potential key support in the $1.5 area. However, if a support zone defends successfully, XRP could move to resistance at $2.8, a major milestone. A clear break above this resistance would signal the next target for this pair, $3.3450, which is a 39% hike from prevailing market rates.
XRP is trading down 0.9% over the past 24 hours at press time and down 2% during the last week of trading at $2.41. Though near term XRP is bearish, analysts remain optimistic Ripple can retest its all time high of $3.4 on bullish momentum.
If $3.34 can be achieved, it will depend on the overall moves in the crypto market and the potential that Ripple will break out of the descending channel. Riding with the current wave of buyers, Ripple moves a little closer to a smoother multiyear turnaround point in its price.
