XRP, the cryptocurrency ranked third by market capitalization, is showing signs of a price move, with key resistance levels approaching.
During the time of writing, XRP was trading at $3.11, reflecting a decline of 0.27% in the past 24 hours. Despite this dip, technical indicators signal potential upward movement. Traders are anticipating the cryptocurrency to reach $3.85 if certain resistance levels are broken.
Resistance levels: Key areas to watch
XRP’s price action is approaching two crucial resistance levels, $3.13 and $3.15. These levels are key for determining whether the asset will continue its upward trajectory.
If XRP breaks through these resistance zones, it could move toward the next target of $3.85. If this price point is achieved, XRP may even be on track for a further rise, with some speculating a potential reach of $8.
However, failure to break these resistance levels could lead to a pullback. If the price does not breach the $3.13 and $3.15 zones, XRP may see a dip, testing lower support levels. In this case, traders may expect a retreat to $3.00 or, in more extreme scenarios, a decline to $2.85.
However, XRP’s current price fluctuations reflect ongoing market volatility, which is common in crypto markets. With trading volume seen in the past 24 hours and price fluctuations, the asset’s future direction will depend mainly on market sentiment in the coming days. Whether XRP breaks resistance levels or faces a correction, the price action will likely remain fluid as traders respond to these technical signals.
Technical indicators support bullish momentum
XRP’s technical indicators are presenting a generally bullish outlook. The Moving Average Convergence Divergence (MACD) shows positive divergence, with the blue MACD line above the orange signal line. This indicates a strengthening bullish trend, as confirmed by the increasing green bars on the histogram. Currently, the MACD value stands at 0.2004, reflecting a positive market momentum that could support further price increases in the short term.
Also, the RSI is at 65.60, which is still below the overbought level of 70, which indicates a stable trend. This means that though XRP is in upward movement, it feels no ‘overbought territory’ pressure, which adds to the range for it to go up. However, if the RSI falls to a level of 70 and above, it is a good signal that the market may be overbought and will probably have a slight pullback in the short term.
