After spending most of the summer struggling, the Ripple price is making waves again. In the last four weeks, XRP jumped 160%. But can it continue, or is the rally starting to run out of steam? Considering that on July 20th, Ripple was close to breaking below $0.50c, Saturday’s $1.3589 high is astounding. However, the price has pulled back in the last two days and now trading at $1.2050. But the question is, can the price build on the will recent gains, or can we expect a pullback soon?
There is certainly an argument to be made for both the bulls and the bears. The bears will remind us that the drawn-out SEC lawsuit against Ripple labs still poses a serious threat to the Ripple price. However, the bulls will be encouraged by the recent positive price action that has lifted XRP’s value by $30 billion to around $56b. Of course, until the court case is resolved, there will be concerns the price may run into trouble. However, a positive outcome could propel Ripple much higher. Until then, the chart offers the best hope of forming an opinion of the price.
XRP price forecast
Using the daily candle chart, there are notable positive developments. XRP has now pulled away from the 50, 100 and 200-day moving averages at $0.7365, $0.8512 and $0.8300, respectively. Additionally, the Ripple price has cleared the psychological $1.0000 threshold and the previous resistance at $1.1000.
However, the rally does appear to be stalling, and this morning, the price tracked back towards the resistance turned support at $1.1000. However, XRP has so far held firm. Also, despite the recent consolidation, the Relative Strength Index is reading 73.80, signalling XRP is still overbought.
As long as the price holds above $1.1000, the outlook is positive and suggests more gains. However, should the price lose this support, the next downside target is the tightly-knit 100 and 200-day moving averages between $0.8300 and $0.8500.
Ripple price chart (Daily)
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