XRP/USD breaks above $0.47 as bulls establish strong support near $0.45
Ripple (XRP) price is trading towards $0.50, a key resistance zone above which the cryptocurrency’s price could rally to new highs.
XRP’s price outlook suggests buyers could yet defy the negative sentiment that has dogged the coin’s trading for much of 2021. So far, bulls have kept prices above the lows of $0.20, which is where XRP traded at following a sharp decline last December.
Notably, the price has traded with consecutive green candles over the past four days, despite broader market pressure. XRP also remains on track for further gains despite yesterday’s news that the Ripple-MoneyGram partnership was off.
At the time of writing, XRP is trading at $0.48 against the US dollar, about 4.5% up in the past 24 hours. Although the daily chart shows that bears are looking to make it difficult, a bullish signal on the same chart suggests a breakout could soon send XRP/USD to the upper half of the $0.50—$0.60 range.
Ripple price analysis
XRP/USD has spiked above a short-term bearish trend line, establishing support above $0.45. The pair is currently trading towards the apex line of an ascending triangle pattern recently formed on the daily chart.
The triangle’s rising support line also means that XRP price is steady above the support of the 20-day and 50-day exponential moving averages.
This is a bullish setup that’s likely to see more buy orders, with bulls targeting a major upside move in the short term. This scenario will validate and strengthen if buyers manage to break above the resistance line of the triangle at $0.50.
Achieving a higher close on the daily log would put bulls near the next supply wall at $0.57 (yellow dotted line), with the next objective being to close above $0.63 (blue dotted horizontal line).
On the contrary, XRP price could turn lower and seek to hold support at the 20-day EMA ($0.46). The ascending trend line also offers a cushion near $0.45, with further declines likely to extend to the 50-day EMA ($0.43). If XRP/USD breaks below the EMA, prices could plummet to lows of $0.30.