- Ripple’s impressive rally hits a wall at $0.21 lagging the anticipated run-up to $0.30.
- Consolidation is likely to take precedence even as XRP/USD remains pivotal at $0.20.
Ripple performed incredibly well this week, shifting attention back to the major cryptocurrencies. Bitcoin tried to follow the rally but was held back by the resistance at $9,450. Ethereum recovered significantly from the dip to $215 in June but stalled at $245. XRP/USD engaged the forward gears as it ground above key resistance zones at $0.1850, $0.1950 and $0.20.
The rally continued slightly above $0.21 but buyers lost the momentum towards $0.22. As reported, the formation of a rising wedge pattern sabotaged the rally, allowing sellers to come in for revenge. XRP/USD adjusted to $0.20 and has remained pivotal at this same level.
At the time of writing, ADA/USD is trading at $0.20. Ripple’s immediate upside is capped by the 50 SMA in the hourly timeframe. Most of the effort from the buyers is currently channeled towards containing the gains above $0.20. This will allow attention to shift back to $0.30 as buyers stage more attacks on resistance zones at $0.21, $0.23 and $0.25.
From a technical perspective, Ripple is poised to settle for consolidation mainly at $0.20. The RSI is moving sidelong at 48 but a negative inclination hints towards a growing bearish grip. Besides $0.20, other support areas include $ 0.19, $0.1850 and $0.1750.
The MACD seems to have found support at the midline. The bearish divergence has decreased, highlighting the presence of buying pressure. Generally, Ripple is likely to settle for consolidation ahead of the next breakout to $0.30.