Whales reemerge for Ripple’s XRP after the prices hit pivotal resistance barriers and increased about 2% in the past 24hours so let’s read more in the XRP news.
The recent upswing took XRP to retest the critical hurdle that was rejected right before the price action over the last two months. Bursting through this barrier could signal a move towards $0.30 while failing to do so and could trigger a correction to $0.20. XRP kicked off the week and the prices increased over 2% in the past day. Another wave of buying pressure could push Ripple’s cryptocurrency out of the two-month-long correction as whales reemerge for XRP.
Ripple’s XRP went through a brutal correction in the past two months relative to the rest of the market and the cross-border remittances token saw the price plummeting by more than 30% after the coin went from a high of $0.33 in August to a recent low of $0.22. The descending parallel channel developed in the past two months on ripple’s 1-day chart and the descending line rejected upward price action while the parallel trendline on the lower end of the channel kept the prices from falling further.
The most recent rejection from the upper boundary of the channel suggested that this cryptocurrency was doomed to retrace further. Today’s bullish price action could have invalidated the pessimistic outlook for the coin. If the demand continues increasing, XRP could have the strength to break through the overhead resistance and could turn the 50-day and 100-day moving averages into support. Under these circumstances, the prices could shoot up by more than 20% to the next area of interest which is about $0.30. This target is determined by the parallel line that is equal to the width of the channel.
Santiment’s holder distribution index adds more credence to the bullish outlook and this behavior analytics company recorded a huge increase in the number of addresses holding 1 million to 10 million XRP. about 14 new whales joined the network while prices dropped. This bullish divergence between the prices and the number of XRP Wales on the network is an uplifting sign for the investors as the pressure could soon be reflected in prices and can lead to a breakout from the previously mentioned descending parallel channel.
Even though the data seems to show that XRP’s downtrend is coming to an end, the investors have to pay close attention to the 50-day and 100-day moving averages. Failing to turn these resistances into support levels, could be followed by a significant correction. If this is to happen, the token could retrace to the 200-day moving average.
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