Could Ripple (XRP), which is booming with the resignation of Gary Gensler, soon reach the top?
181.38% increase in last 30 days Ripple (XRP)demonstrated strong market momentum. Entering a consolidation process, XRP’s Relative Strength Index (RSI) is currently at 53.2, which points to further upside. If the bull’s momentum regains strength, XRP It could retest $1.63. However, if there is a bearish trend, the price may drop to $1.27 and then $1.05.
The neutral outlook for Ripple (XRP) continues
XRP’s RSI value is currently showing neutral momentum at 53.2. RSI measures the speed and magnitude of price changes on a scale of 0 to 100. Values above 70 indicate overbought conditions, indicating a possible pullback, while values below 30 indicate oversold conditions and indicate the possibility of a rebound.
XRP’s RSI value rose above 70 when it reached $1.63 between November 21-23. The current reading of 53.2 indicates that bull momentum has cooled but there is no sign of a reversal yet. This neutral level suggests that XRP is consolidating after its recent rally. But if the RSI falls further, the price may test the support level.
The CMF indicator turned negative.
Ripple’s Chaikin Money Flow (CMF) indicator is currently at -0.05, down from 0.10 a week ago when the price touched $1.63. CMF measures capital inflows and outflows into assets. Positive values indicate buying pressure and negative values indicate selling pressure.
A fall in the CMF into negative territory indicates that selling pressure has begun to outpace buying activity, but the pressure is not yet at significant levels. The -0.05 level indicates a slight downside for XRP, but it indicates selling pressure below the -0.15 level on November 21st. If the CMF is lower, it may indicate that selling pressure may increase and the XRP price may fall further.
Can it return to its 2018 levels?
XRP’s Exponential Moving Averages (EMA) are still in a bullish trend and the short-term EMA lines are moving above the long-term EMAs. This indicates a continuous increase. However, the narrowing distance between the EMA lines indicates that the bullish momentum is weakening and a reversal of the trend is possible.
If the downtrend starts, the price of the wave could test the strong support at $1.27. If this support level is broken, the price could fall further to $1.05, which would represent a major correction.
On the other hand, if buying pressure strengthens and a new uptrend is formed, XRP price may retest $1.63. A break of this level could take the price to $1.70 and Ripple to its highest price since 2018.
This article does not contain investment advice or recommendations. Every investment and trading venture involves risk, and readers should do their own research when making decisions.
