- Ripple price stalls short of $0.20 amid the generally retreating cryptocurrency market.
- XRP/USD is trading close to the highest volatility levels of the week; a breakout is expected after consolidation.
Ripple re-embarked on the journey of breaking barriers after testing the support at $0.19 last week. The recovery took place in tandem with other cryptocurrencies including Bitcoin which this time joined in the rally closing in on the resistance at $9,500. Ripple majestically rose upwards but encountered acute resistance within a whisker of $0.20.
As the market makes minor corrections from the weekly highs traded on Tuesday, Ripple is struggling to extend the bullish leg. The action above $0.20 is proving to be an uphill task. The price is doddering at $0.1983 while holding tightly above the 100-day SMA.
According to the prevailing technical picture, XRP is unlikely to breakout above $0.20 in the near term. This follows the motionless movements of both the RSI and the MACD. Consolidation is mainly going to carry the day. However, the Bollinger Bands show that volatility is closer to the highest levels seen this week. In other words, a breakout is around the corner.
If losses extend from the current levels, XRP will seek refuge at the 100-day SMA ($0.1972), the Bollinger Band middle curve, the 50-day SMA ($0.1927) as well as last week’s support at $0.19. On the upside, a break past $0.20 could encourage more bulls to enter the market in turn forcing a spike above July high at 0.2127.
Related reading: Bitcoin Price Prediction: BTC/USD volatility kick starts rally to $10,400 – Confluence Detector