- XRP has a strong support zone just below the current market prices.
- A drop below $0.5 remains likely based on the findings from the technical indicators.
Ripple [XRP] has traded in a range for nine months. In the past month, it has formed a range in the lower half of the previous HTF range.
While the asset saw an accumulation since September 2023, the past six weeks have been different.
The XRP community still believes that the token will provide outsized gains during this run. Another indicator pointed toward $2.4-$3 as the next cycle’s target.
Be that as it may, the technical analysis retained a bearish bias.
The momentum and buy pressure were both fading
Source: XRP/USDT on TradingView
The OBV has trended higher and made higher lows since September 2023. But in April, this series of higher lows was broken. This suggested that a higher timeframe OBV downtrend could be looming.
The highlighted support level could be key in determining if the bulls could drive a recovery or not.
The RSI on the daily chart has been below neutral 50 since mid-April, signaling a strong bearish price downtrend. Hence, the technical indicators support the idea of further losses.
The price action was not as decisive. While the past six weeks’ price trend was bearish, the $0.45 range lows could see a positive reaction.
The $0.45 and the $0.57 mid-range resistance are the levels within which XRP would likely consolidate in the coming weeks.
The liquidation heatmap agrees with the technical findings
The liquidation heatmap showed two key clusters of liquidity. The southward one was at $0.45-$0.47 and was much closer to current market prices.
Read Ripple’s [XRP] Price Prediction 2024-25
The $0.575 region is also a magnetic zone and has a sizeable concentration of liquidation levels.
XRP likely revisits the $0.45 level due to the liquidity present there before climbing back toward $0.575. Hence, the XRP price prediction is a move to $0.45 before a bullish reversal to $0.575.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.