Ripple recently experienced renewed buying pressure around the key $0.5 support area, resulting in a strong price surge and the re-establishment of significant resistance levels.
The resumption of buying activity suggests an uptrend in the medium term, with a potential resistance target at $0.66.
XRP analysis
Author: Shayan
Daily chart
On the daily chart, the $0.5 zone has been critical support for XRP in recent months. The recent influx of buying momentum has pushed the asset above the 100-day moving average ($0.55) and 200-day moving average ($0.53). A break above these moving averages indicates a change in sentiment as buyers now have a stronger position in the market.
However, RP is currently trading within an expanding wedge and is capped at the $0.55 and $0.66 thresholds. In the medium term, short-term consolidation is expected in this range with a likely continuation of the upward trend towards the resistance level of $0.66.
4 hour chart
Looking at the 4-hour chart, we can see that Ripple experienced significant demand around the $0.5 support area, corresponding to the 0.5 and 0.618 Fibonacci retracement levels.
The bullish divergence observed between the price and the relative strength index (RSI) confirmed the accumulation phase, leading to a decisive break of both the upper boundary of the falling wedge and the $0.55 threshold. This breakout and wedge pattern signal a bullish reversal in the medium term.
Ripple is currently trading in a range of $0.55-$0.66, and a period of consolidation in this range is likely before the bullish movement continues. As long as buying momentum continues and consolidation remains healthy, XRP price could move closer and potentially test the $0.66 resistance in the medium term.
