Ripple price trades lower today after yesterday’s sharp gains that stalled at the 50 and 100-day moving averages. A second attempt today to break above the 50-day moving average matched with intense selling pressure that pushed the ripple price in negative territory. XRPUSD had entered bearish territory since the weekend when it breached below the 50-day moving average.
Goldman Sachs in a report about the state of the economy said that does not recommend the bitcoin on a strategic basis for investment portfolios. In the report, Goldman Sachs compared BTCUSD rally to the tulip mania of the 1600s in the Netherlands, which is considered one of the most famous bubbles. The report argues that cryptocurrencies are not an asset class, and they do not generate cash flow or earnings while have failed to provide consistent diversification benefits. The analysis also noted that there is no evidence that cryptocurrencies are an inflation hedge.
XRP capitalization stands now at $8.66 billion while the trading volume in the last 24 hours has reached 1.54 billion below the average volume.
Bitcoin (BTCUSD) is 0.33% lower at 9,183 after yesterday’s sharp gains drove the price above the 9,000 mark. Ethereum (ETHUSD) is 0.86% lower at 206.53, while the Litecoin (LTCUSD) is 0.82% lower at 43.49.
Ripple price is 1.02% lower at $0.1958 after bulls received rejection at the 50-day moving average. Bears are in full control of Ripple, and only a credible break above the 50 and 100-day moving average might cancel the bearish momentum.
On the downside, the first support for Ripple stands at $0.1947 the daily low. The next strong support will be met at $0.1931 the low from yesterday’s trading session. If the Ripple breaks below $0.1931 support level, XRPUSD price could correct further towards the $0.1756 the low from May 25.
On the other hand, first resistance for XRPUSD price will be met at $0.1986 the daily top; If Ripple remains bid above $0.1986, the next hurdle will be met at $0.2000 the 50-day moving average. A break above 0.2000 might open the way for a bigger move higher. Next resistance area to watch is at $0.2070 the high from May 20.