- Ripple price defends recovery from technical support to pare weekly loss.
- Two-month support triggered XRP’s recovery, but multi-month resistance and sluggish Stochastic challenge upside bias.
- Clear break of $3.40 could refresh record top, while $3.00 puts a short-term floor under the prices.
- Sustained trading beyond key EMA suggests Ripple’s gradual run-up.
Ripple (XRP) price gains 0.50% intraday to $3.12 as traders defend recovery from technical support during the weekend sluggish session.
An eight-week ascending trend line and a neutral Stochastic indicator support XRP’s latest rebound. Still, a seven-month-old horizontal resistance area appears to be a tough nut to crack for the bulls to retake control.
Ripple faces headwinds as it trades below the key technical levels, with daily volume slipping to the lowest since early July, close to $3.23 billion by press time, whereas the market cap rebounds to around $185.98 billion, according to Santiment.
Hence, Ripple buyers have a long way to retake control despite the latest rebound, but the bearish trend appears less likely.
Ripple Price: Daily Chart Highlights Short-Term Consolidation
Ripple’s U-turn from an ascending trend line since late June remains less convincing to the buyers as the Stochastic drifts lower toward the 50.00 neutral limit. Also challenging the bullish bias is a horizontal area comprising levels marked since mid-January, around $3.34-$3.40.
In a case where the XRP rebound crosses the key $3.40 hurdle, the all-time high marked in July around $3.67, and the $4.00 threshold will gain the market’s attention.
Alternatively, a downside break of the immediate support line, close to $3.04 at the latest, will have the $3.00 threshold and the 50-day Exponential Moving Average (EMA) level of $2.94 to test the bears.
Following that, the monthly low of $2.73 and a 5.5-month-old previous resistance, now support $2.65, might lure the XRP sellers.
It’s worth noting, however, that Ripple’s daily closing beneath the 200-day EMA level of $2.44, followed by a sustained trading beneath the long-term support from November near $2.17, becomes necessary for the XRP bears to reclaim control.
Ripple Price: Four-Hour Chart Points To Inaction
On the four-hour chart, Ripple seesaws between the 100-bar and 200-bar EMAs, respectively at the $3.14 and the $3.04 levels.
Still, the Stochastic’s latest rebound from the oversold territory suggests a potential run-up beyond the 100-bar EMA hurdle of $3.15, which in turn opens the door for the XRP’s rise to a month-old horizontal resistance surrounding $3.36-$3.40.
However, the quote’s upside past $3.40 will be decisive and attract buyers toward the key resistances discussed on the daily chart.
On the contrary, a downside break of the 200-bar EMA support of $3.04 could take a stop near the $3.00 round figure before eyeing the $2.79 short-term key support, including a month-long ascending trend line and 50% Fibonacci Retracement of the XRP’s June-July upside. Following that, deeper levels discussed on the daily chart will be in the spotlight.
Conclusion
Ripple’s latest rebound lacks support from the Stochastic momentum oscillator and trading volume, and has multiple strong resistances on the upside to challenge buyers, raising doubts about the XRP’s bullish trend, even as the short-term rebound is likely.
