The recent uptick in ripple price has allowed for ripple price to break resistance on the falling trendline (from connecting the highs of May 18, May 20, and May 27). When you enroll in our free forex trading course, you will learn that a trendline break is often interpreted as a sign that there could be enough bullish momentum in the market. Should this be the case, we could see ripple price trade higher soon. Near-term resistance for the cryptocurrency is at $0.2055 where the 200 SMA is. If there are enough buyers in the market, we could even see ripple price trade all the way up to $0.2080 where it topped on May 18.
On the other hand, it’s worth pointing out that a shooting star candlestick just recently formed on the 4-hour time frame of XRPUSD. This is often seen as a bearish confirmation signal. And so, if buyers run out of momentum, we could soon see ripple price fall.
A closer look at the 1-hour time frame shows that ripple price could fall to near-term support around $0.1985. This price corresponds to the area between the 50% and 61.8% Fib levels when you draw the Fibonacci retracement tool from the low of May 28 to its intraday swing high. By connecting the lows of May 26 and May 28, we can also see that there is trendline support around this price too.