- Ripple joins the rest of the market in a fast retreat erasing the progress made in the last two days.
- The 50% Fib level aided by the ascending trendline is likely to halt the declines.
Many analysts believe that the recent breakout across the cryptocurrency market was more or less a bull trap. Their notion is currently being proved right as Ripple price forced its way against key support areas including $0.2750 and the 61.8% Fib retracement level taken between the last swing high of $0.2889 to a swing low of $0.2461.
Also, Ripple is trading under the Simple Moving Average s (SMAs). The 50 SMA on the hourly chart and the 100 SMA are currently limit movement at $0.2465. If the 50 SMA continues with the trend under the 100 SMA more selling entries are likely to be witnessed as the price is thrust further down towards the viable support at $0.2500.
Meanwhile, the Relative Strength Index (RSI) is pointing south towards the oversold. The continued downward movement will keep XRP in a downtrend. However, the 50% Fib level and the trendline are in line to offer the much-needed support. Other areas that will come in handy include $0.26, $0.25 and $0.24.