XRP continued its sideway trading during the week, still holding around $0.4 support line. Although this might look like positive news, on the second look, the question emerges for how long can $0.4 support withstand the selling orders pressure?
During the week XRP tried to push the price to the upside, but it managed to reach only level of $0.43 on a short occasion, after which price returned to the level of support line, while coin is finishing the week modestly below this level. RSI is moving slightly below 40, not providing indication that clear reversal is ahead, after the coin reached oversold territory two weeks ago. MA50 started its higher divergence from its MA200 counterpart, while both lines are moving with clear downtrend.
Selling orders are currently dominant orders for XRP. This puts into question sustainability of the current $0.4 support line. If the coin manages to hold this line, there is a probability that it will revert to the upside in order to test the next short term resistance line at $0.45. However, if higher selling orders emerge, then the price might be pushed further to the downside to the level of next short term support at $0.35.
Disclaimer: This article provides exclusive views of the author. It does not in any sense represent a suggestion for trading.
During the week XRP tried to push the price to the upside, but it managed to reach only level of $0.43 on a short occasion, after which price returned to the level of support line, while coin is finishing the week modestly below this level. RSI is moving slightly below 40, not providing indication that clear reversal is ahead, after the coin reached oversold territory two weeks ago. MA50 started its higher divergence from its MA200 counterpart, while both lines are moving with clear downtrend.
Selling orders are currently dominant orders for XRP. This puts into question sustainability of the current $0.4 support line. If the coin manages to hold this line, there is a probability that it will revert to the upside in order to test the next short term resistance line at $0.45. However, if higher selling orders emerge, then the price might be pushed further to the downside to the level of next short term support at $0.35.
Disclaimer: This article provides exclusive views of the author. It does not in any sense represent a suggestion for trading.
