Ripple (XRP) has earned a well-deserved reputation for being resilient. Over the last few days, we saw XRP/USD rally in the face of a market meltdown. However, when the time to correct came, Ripple (XRP) still managed to remain above its trend line while most other coins would have pierced right through their trend lines to complete a full correction. The daily chart for XRP/USD shows that Ripple (XRP) has now found a strong support at the $0.457 level. The price has held this level during a recent retest and is unlikely to fall below it. The daily RSI has also cooled down without doing much damage to the price of Ripple (XRP). In fact, as the market recovers Ripple (XRP) might once again be due for another rally.
The EMA alignment for Ripple (XRP) has now turned bearish and one would expect it to fall further. However, Ripple (XRP) seems to be holding strongly above the trend line and does not appear likely to drop below the support and the trend line. That being said, the 5 Day EMA has now turned into a strong resistance that Ripple (XRP) may not be able to break anytime soon. The daily volume is starting to recover but most of it has been on the sell side so far. Ripple (XRP) investors would still like to see some bullish volume return to the market. There are a lot of hodlers in the XRP community that do not trust exchanges and have their coins stocked in cold storage wallets.
Ripple (XRP) has managed to stay atop its trend line against the US Dollar but things are completely different in case of Bitcoin (BTC). The daily chart for XRP/BTC shows that Ripple (XRP) has yet to break its downtrend against Bitcoin (BTC). It managed to briefly escape the downtrend the past few days but was soon pulled back in. The RSI for XRP/BTC shows that Ripple (XRP) is unlikely to break this downtrend against Bitcoin (BTC) anytime soon. The price of XRP/BTC may have to complete a wave down before attempting to retest the resistance once again. It is pertinent to note here that Ripple (XRP) has already attempted to break this downtrend before in September this year. We saw a big spike in XRP/BTC that got stopped at the downtrend resistance and was pushed back into the descending channel.
Ripple (XRP) might be due for a short-term pullback against Bitcoin (BTC) but it is important to mention that Ripple (XRP) is already a winner from an investment standpoint. Investors that bought after the first few months of correction are still in the green. Ripple (XRP) investors that were hodling were once down more than 80% on their investments as they had bought near the top but now they are doing better than most other cryptocurrency hodlers because Ripple (XRP) has recovered significantly while most cryptocurrencies have just made new lows for the year.
Source: Crypto Daily