Ripple (XRP) has just faced a strong rejection at the 21 day exponential moving average against Bitcoin (BTC). This is a strong setback for XRP/BTC considering the price is already in a do or die situation. The only thing that could save Ripple (XRP) from significant further downside is a rise above the 50 day moving average. If it fails to do that and faces a rejection at the 50 day moving average, we might see a strong decline below the 200 day moving average. If the price falls below the 200 day moving average, we could see it flash crash to the previous support. On the other hand, if XRP/BTC climbs above the 50 day moving average, we could see a short term rally to the upside that would lead to a higher weekly close.
So far, the probability of a decline below the 200 day moving average for XRP/BTC before a break above the 50 day moving average seems quite low. This is because the daily chart shows that Ripple (XRP) has significant room for a short term rally. This rally would also help Ripple (XRP) reach overbought conditions on larger time frames so a strong decline to the downside can begin. Ripple (XRP) like most cryptocurrencies have declined more than 90% from its all-time high but that does not mean that the price has bottomed yet. In fact, we believe that the price has a long way to go before it bottoms. This week’s close is likely to determine the fate of Ripple (XRP) for the weeks ahead. The trading activity for the past few weeks for Ripple (XRP) has been rather confusing. Some investors and analysts have blamed it on manipulation while others have chalked it up to a lake of interest in the market at the moment.
The weekly chart for XRP/USD shows that the price of Ripple (XRP) has failed numerous times in its attempts to break out of the symmetrical triangle it has been trading in since August, 2018. The price has also been facing constant rejections around the 21 Week EMA. This goes on to show that the bulls have a hard time pushing the price of Ripple (XRP) above the symmetrical triangle. With this kind of weakness in the market, it is unlikely that we might see a significant break to the upside. It would not be surprising to see XRP/USD break to the upside and shoot towards the 50 week moving average.
However, it is likely that this move will be short lived and the price will retrace significantly before the weekly close facing a strong rejection at the 50 week moving average. The Stochastic RSI on the weekly time frame shows that Ripple (XRP) unlike most other cryptocurrencies has a lot of room for significant room to the upside. However, the majority of people in the market at this point are professional traders who know how to knock out mainstream investors and have their way. The wicks that we have seen in the past few weeks will thus only get longer in the weeks ahead as we see more signs of market manipulation as we get closer to the bottom.
Ripple Price Analysis: XRP Lost Critical 5000 SAT Support Area – What’s Next?
Ripple’s XRP has seen a price decline totaling 6% over the past 24 hours of trading, bringing the current price for the coin down to around $0.3754 at press time. The cryptocurrency has lost a further 16% over the past 7 trading days.
This price drop largely is due to the retracement seen in Bitcoin, although XRP also has seen difficulty when priced against Bitcoin.
XRP currently is ranked in 3d place amongst the top cryptocurrency projects by market cap value, holding a $15.89 billion market cap, according to CoinMarketCap at time of publication.
Looking at the XRP/USD 1-Day Chart:
- Since our previous XRP/USD analysis, we can see that XRP/USD has fallen further from the $0.39 level, to where it currently is trading at around $0.375. XRP has strong resistance beneath it provided by the 200-day moving average around the $0.3615 level.
- From above: The nearest levels of resistance lie at $0.3790 and $0.3943. If the bulls can continue further above $0.40, higher resistance can be located at $0.4235, $0.4376 and $0.4617. Above this, further resistance lies at $0.48 and $0.50.
- From below: The nearest level of support now sits between $0.36 and $0.35. Beneath $0.35, further support is located at $0.34, $0.32 and $0.30.
- Trading volume has dropped significantly from the average level seen during May 2019.
- The RSI is in a precarious position as it hovers around the 50 level which indicates indecision within the market. If the RSI drops beneath 50, we can expect XRP/USD to head lower.
Looking at the XRP/BTC 1-Day Chart:
- Against Bitcoin, we can see XRP/BTC has now dropped further beneath the support at 5000 SAT to where it currently trades at press time, around 4850 SAT.
- From above: The nearest level of resistance now sits at 4910 SAT, 5000 SAT and 5090 SAT. Above 5100 SAT, further resistance exists at 5571 SAT, 5962 SAT and 6000 SAT.
- From below: The nearest level of support lies at 4731 SAT. Beneath this, further support is expected at 4500 SAT, 4323 SAT and 4000 SAT.
- Trading volume has also significantly declined toward the second half of May 2019.
- The Stochastic RSI suggests that price action will head further lower due to a bearish crossover in overbought conditions.
XRP: Massive amounts of cryptocurrency moved as Ripple, Nexo come into the picture
Market momentum in the cryptocurrency industry is of paramount importance, since it is often considered as an important marker in the propagation of crypto-use. Ever since the end of the crushing bear market, there have been several instances of massive amounts of cryptocurrencies being moved, especially when it comes to XRP, the third largest coin on the charts.
According to @WhaleAlert, a cryptocurrency data aggregator, there have been multiple drops of large XRP sums, amounting to a total of close to 26 million XRP. The first drop included a transfer of 10 million XRP from a Ripple Over-the-Counter distribution wallet to another unknown wallet in the cryptosphere.
The transfer amounted to a whopping $3.732 million and had a time stamp at 23 May 8:00 UTC. The transmitter address was rMaV5QT2ZCwVFArQ7sdQMxhtzg6mgqJ47h, while the receiver address was rEFtdHuyxgUjDL4t3gBsesQwHtnDy2W8rC.
The first transaction of 6.862 million XRP was preceded by another transfer of 6 million XRP, which occurred from an unknown wallet to a Nexo wallet. The unknown wallet’s address was rhCgcS11iumWeutBF4CPEu7G2zTXkh5oUZ, while the Nexo wallet’s address was rNrWGYBb9GJoRrZKqpH6PigQ2fdj7dRLyk.
The third significant XRP transaction that occurred in the space of 12 hours included another drop of 10 million XRP. The exact amount of XRP transferred was 10.11 million, moved from Ripple to an unknown wallet. The Ripple address on Bithomp was rhmc2XPEbmCN8MW6dcoMUGBuzzp65uKpEn, while the unknown wallet had an address of rH51tppA1cF5J75GS6MqaJhJfQFm2PPXG2.
Ripple and in turn, XRP, was also in the news recently after Ripple partner R3’s Corda released a statement that they were planning to further their partnership with credit union-centric CULedger. The press release from the organization stated,
“This will allow credit unions using CULedger’s network to choose from a variety of near-instant, secure and affordable domestic and cross-border payment options to meet theirs and their members’ needs.”
Ripple: XRP struggles amid downbeat Thursday crypto market
The third-largest digital currency in the world, XRP, had an encouraging start to yesterday’s session, as its price topped the $0.40 mark in early trading. However, the coin’s spell above $0.40 did not last long. After several hours of struggling to sustain trading at that level, XRP gave in to the pressure and returned to sub-$0.40 levels. The decline accelerated during the afternoon portion of the session, with its price tumbling to an intraday low of $0.373. The digital coin finished the session at $0.376, down from its opening price of $0.397.
XRP has remained on the defensive in today’s trading, mirroring a wide-spread crypto correction. As a result, the coin fell to a six-day low of $0.367 in the morning. The token’s performance has somewhat improved in more recent trading, which has allowed it to retake the $0.37 level.
Meanwhile, XRP has continued to experience strong market activity, although its trading volume has seen a drop from yesterday. According to data from digital currency tracker Coinmarketcap, around $1.9 billion worth of XRP coins have changed hands over the past 24 hours. The coin’s daily trading volume reached just over $2 billion on Wednesday.
XRP’s current struggles appear to be part of a larger downward correction that has affected most digital coins on the market. Earlier this month, XRP benefited from a strong bullish trend that saw many cryptocurrencies rising to new 2019 highs. XRP’s rally peaked at $0.474, which was reached on May 16, the same day that Bitcoin set its current 2019 high of $8,320.82.
In today’s trading, the XRP price stood at $0.373, as of 14:17 BST. The digital coin has lost 4.6% of its value in the past 24 hours, Coinmarketcap data shows. The coin’s total market cap currently stands at $15.7 billion.