XRP’s Price Experiences Stiff Resistance As it Aims for $0.25
The drive up for XRP towards $0.25 is facing several hurdles including Bitcoin's dominance.
The crypto market dominance of Bitcoin is firmly at 68%.
XRP’s Price is at the mercy of the price movement of BTC ahead of and post-halving.
It is now 48 hours till the Bitcoin halving event and the price of BTC is holding $9,700 as a support zone. Further digging deeper into the crypto market dominance chart, we find that the King of Crypto is firmly leading the rest, and commanding 68% of the total crypto market cap. BTC’s dominance is steady at this value and only time will tell if Bitcoin will provide breathing room for alts to thrive ahead of the Bitcoin halving.
XRP’s Price Meeting Stiff Resistance on the Journey to $0.25
Back in early April, we had postulated that XRP could hit $0.25 based on the 3-Day chart. In our analysis, he had seen a possible scenario where the value of XRP would continue to gain in the markets and achieve a local top at around the same time the Bitcoin halving occurred. We explained:
…the coin is exhibiting bullish momentum that might peak at the same time the Bitcoin halving occurs. Between now and then, XRP might just reclaim the psychological support of $0.25.
Further checking our favorite 6-hour XRP/USDT chart courtesy of Tradingview.com, we observe the following.
Trade volume is in the green thus indicating buying interest in XRP.
MACD has crossed in a bullish manner above the baseline.
The current price of XRP at $0.22 is above the 50, 100 and 200 moving averages thus indicating bullish momentum.
The 6-hour 50 MA is acting as support.
Support zones include $0.214, $0.209, $0.207 and $0.20
Resistances include $0.226, $0.235 and $0.245.
There seems to be a wedge forming with an upper ceiling around $0.225.
MFI is at 68 indicating that XRP is yet to be overbought and we could see a push up by XRP before the Bitcoin halving.
The dominance of Bitcoin is high at 68% ahead of the halving. Such a high value puts alt-coins such as XRP at the mercy of the price movement of BTC. The remittance coin has been exhibiting sideways movement for the month of May that has resulted in a wedge forming on the 6-hour chart. This wedge could resolve in a bullish manner in the coming hours. However, XRP still faces stiff resistance levels on its journey to $0.25 in addition to Bitcoin dominating the markets and trading discussions.
As with all analyses, traders and investors are advised to use adequate stop losses to protect their trading capital.
(Feature image courtesy of on Unsplash.com.)
Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of EWN or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.