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Ripple (XRP) Price Trend Overwhelmingly Negative, Bitcoin Diving

  • Ripple price is declining and trading below the $0.2560 pivot level against the US dollar.
  • Bitcoin is down more than 3% today and Ethereum broke a major support near $178.
  • There is a new connecting bearish trend line forming with resistance near $0.2530 on the hourly chart of the XRP/USD pair (data source from Kraken).
  • The price tumbled recently and tested the $0.2400 support area.

Ripple price is trading in a crucial downtrend against the US Dollar, while bitcoin is approaching $8K. XRP price is likely to struggle near the $0.2560 and $0.2600 resistances.

Ripple Price Analysis

After forming an intermediate top near the $0.2660 level, ripple declined heavily against the US Dollar. XRP/USD broke many key supports near $0.2560 to move further into a bearish zone.

Moreover, there was a close below the $0.2560 level and the 100 hourly simple moving average. It opened the doors for more losses and the price declined heavily below the $0.2500 level.

The recent decline gained pace below the $0.2450 level and ripple tested the $0.2400 support area (as discussed in yesterday’s analysis). A new monthly low was formed near $0.2399 and the price is currently correcting higher.

It is testing the 50% Fib retracement level of the recent decline from the $0.2659 high to $0.2399 low. On the upside, there are many resistances near the $0.2540 and $0.2560 levels.

Besides, there is a new connecting bearish trend line forming with resistance near $0.2530 on the hourly chart of the XRP/USD pair. Above the trend line, ripple price is likely to struggle near the $0.2580 level and the 100 hourly simple moving average.

More importantly, the 76.4% Fib retracement level of the recent decline from the $0.2659 high to $0.2399 low is likely to act as a strong resistance. Finally, yesterday’s highlighted bearish trend line is intact with resistance near $0.2620 on the same chart.

On the downside, an immediate support is near the $0.2480 level. If the price starts a fresh decline below $0.2480, it is likely to test the $0.2420 and $0.2400 levels. Any further downsides depend whether bitcoin breaks the $8,000 support and continue lower.

Looking at the chart, ripple price is clearly gaining bearish momentum below $0.2560. In the short term, there could be an upside correction, but the overall trend remains bearish as long as the price is trading below the $0.2700 level.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is slowly reducing its bearish slope.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now well below the 40 level, with a bearish angle.

Major Support Levels – $0.2480, $0.2420 and $0.2400.

Major Resistance Levels – $0.2560, $0.2580 and $0.2620.

The post Ripple (XRP) Price Trend Overwhelmingly Negative, Bitcoin Diving appeared first on NewsBTC.

NewsBTC , 2019-11-19 04:28:17 ,

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NewsBlock © 2019 - 2020 All rights reserved.

NewsBlock © 2019 - 2020. All rights reserved.

While Bitcoin’s price seemingly moves without rhyme or reason — collapsing by dozens of percent and embarking on face-melting rallies on a whim — the cryptocurrency market is filled to the brim with fractals.

Related Reading: Analyst: Bitcoin Price Likely to Fall to Low-$8,000s as Chart Remains Weak

A brief aside: A fractal, in the context of technical analysis and financial markets anyway, is when an asset’s price action is seen during a different time. This form of analysis isn’t that popular, but it has proven to be somewhat valuable in analyzing Bitcoin.

One recent fractal popularized by a well-known cryptocurrency trader is implying that BTC is going to return to the low-$7,000s in the coming days.

Bitcoin Fractal Implies Retracement to Low-$7,000s

A well-known crypto trader going by “Tyler Durden” on Twitter recently posted the chart below, which shows that a Bitcoin price fractal may be playing out. The fractal has four phases: horizontal consolidation marked by one fakeout, a surge above the consolidation phase, a distribution, then a strong drop to fresh lows.

If the fractal plays out in full, BTC could reach the low-$7,000s again, potentially as low as $7,100. This would represent a 20-odd percent collapse from the current price point of $8,800.

It isn’t only a fractal that is hinting Bitcoin has the potential to visit its lows. As we reported on Saturday, Bloomberg believes that if the GTI Vera Convergence Divergence Indicator flips red, a downtrend could push the cryptocurrency back to $7,300.

Related Reading: Stephen Colbert Pokes Fun at Bitcoin in Monologue: Mainstream Gone Wrong?

Can Bulls Step In?

But again, many believe it is irrational to have such bearish interpretations of the cryptocurrency’s chart at the moment. As reported by NewsBTC earlier, Popular crypto trader Mayne recently noted that the “people waiting for $6,000” are irrational. He quipped that Bitcoin retracing and consolidating after its fourth-biggest bull move in history ($7,300 to $10,500, a 42% gain) is perfectly par for the course, but noted that it’s totally possible we can go lower from $8,800.

The medium-term technicals support this.

Trader and CoinTelegraph contributor FilbFilb found that by the end of November or start of December, the 50-week and 100-week moving averages will see a “golden cross,” which he claims is far more significant” for the Bitcoin market that other technical crosses.

Also, a Bitcoin price model created using Facebook Prophet machine learning found that the leading cryptocurrency is likely to end the year at just over $12,000. What’s notable about this model is that it called the price drop to $8,000 months in advance, and forecasted a ~$7,500 price bottom for BTC.

To put a cherry on the cryptocurrency cake, Crypto Thies observed that when Bitcoin bottomed at $7,300, it bounced decisively off the 0.618 Fibonacci Retracement of the move from $3,000 to $14,000, which correlates with the two-week volume-weighted moving average. He added that summer 2019’s consolidation was marked by Bitcoin flipping major resistances into support levels, implying that a bullish reversal and subsequent continuation is likely possible in the coming weeks.

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Nick Chong , 2019-11-10 12:00:38

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