XRP Loses Previous Gains; Bulls Seek To Shift Momentum
03 May 2023 - 11:40PM
NEWSBTC
Following a sharp increase in value, XRP overcame several
major obstacles, improving its outlook. But when the price reached
the significant resistance level of $0.5387 on April 19, it lost
momentum and fell. XRP has seen a dramatic decline in value, giving
up its prior gains. Many investors are now unsure when the momentum
will change and the possible causes of the decline in value. Will
XRP Recover From The Dip? XRP is one of the most closely monitored
digital assets due to Ripple’s ongoing case with the United States
Securities and Exchange Commission (SEC). The token has seen
substantial volatility and swings in the cryptocurrency market
since the year began. Recently, the token has experienced a decline
in its value, erasing its previous gains and leaving investors
uncertain about the future of the asset. The current XRP price
outlook is bearish, with a Fear & Greed Index score of 29.
Related Reading: Top 5 Cryptos To Watch This Week Amid US Banking
Crisis This level indicates that the bearish trend will continue as
the price is at the zone where investors and traders are afraid to
enter the market. The investor’s sentiment and market structure has
led to increased selling momentum and downtrend movement. The
current price of XRP is $0.4557 today, depicting a 24-hour decline
of 0.89%. Its market cap of $23 billion shows a decline of 0.88%,
while its 24-hour trading volume of $890 million depicts a 1.28%
decline. What’s Ahead For The Token? At the time of writing,
XRP’s price is heading toward the critical support level at $0.4405
due to the strong bearish momentum. If XRP bulls reduce their
buying momentum, the price could soon lose the immediate support at
$0.4405, opening the drains for further declines. Conversely, if
sidelined investors jump in at current levels, XRP’s price could
reclaim its bullish trend. An increase in buying pressure
from the current $0.4602 could see the token break past the
immediate psychological resistance of around $0.4869. It may also
confront the next resistance at $0.5387 if the bulls build strong
pressure. But a decisive flip of this resistance into support would
invalidate the bearish thesis. XRP’s price turned down from
the 50-Day simple moving average (SMA), indicating sellers continue
to defend the level aggressively. The bears will try to sink the
price to the important support zone of $0.4405. If it trades
below the 200-Day SMA, this would indicate a long-term bearish
momentum. However, buyers are expected to defend the zone because
the XRP/USD pair could sink more if they fail to hold their
position. The relative strength index (RSI) is trying to form a
bearish divergence, indicating that the bears may be holding their
grip. The RSI reading of 38 shows that XRP is close to the oversold
region. The MACD line is below the signal line, indicating a
potential sell opportunity. The histogram is also below the zero
line and increasing in size; this indicates possible bearish
momentum. Featured image from Pixabay and chart from Tradingview
Ripple (COIN:XRPUSD)
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