This week marked the launch of Ripple’s xRapid service. This will be the first Ripple service which actually requires the use of the XRP token. XRP had a huge increase in price in the build-up to the launch of xRapid but has since started to depreciate. After a bearish divergence between price and RSI where price had formed a higher high and RSI formed a lower high, the price started to retrace. The bearish divergence showed an increase in price despite a decrease in buying pressure.
The price is currently trading around the 200 EMA where it seems to be having some support but with momentum shifting to sellers, it could drop below. The MACD is starting to converge to the centerline showing the shift in momentum to the sellers and is also crossing its signal line to the downside, a bearish signal.
The hourly analysis for XRP also supports the viewpoint of sellers being in control. Price has been steadily decreasing and forming a downward trendline. After the large appreciation in price in the build-up to xRapid, the price seems to be experiencing a correction.
Price increased from $0.27 to a high near $0.79 last week in XRP which is too fast to represent a respective change in the underlying fundamentals. The market capitalization for XRP is currently around the $20 Billion. The outlook for the price is currently bearish assuming we don’t experience an influx of buyers across the cryptocurrency market.
- Price has retraced since the appreciation which occurred in the build-up to the xRapid launch.
- MACD is starting to converge to the centerline and cross its signal line to the downside.
- Downward trendline forming on the hourly for XRP with the momentum currently with sellers.
|DISCLAIMER: Investing or trading in digital assets, such as those featured here, is extremely speculative and carries substantial risk. This analysis should not be considered investment advice, use it for informational purposes only. Historical performance of the assets discussed is not indicative of future performance. Statements, analysis, and information on blokt and associated or linked sites do not necessarily match the opinion of blokt. This analysis should not be interpreted as advice to buy, sell or hold and should not be taken as an endorsement or recommendation of a particular asset.|