Disclaimer: The findings of the following analysis attempt to foresee XRP’s price movement over the next 24 hours
Over the past 7 days, XRP‘s value has registered over 10 percent in growth. However, the past few months haven’t been particularly inspiring for XRP’s price action, especially after having lost out to Tether in terms of market capitalization, a development that forced the coin down to the fourth spot on CoinMarketCap’s list.
At press time, XRP was being traded at $0.207 and had a market cap of $9.2 billion. Over the past 24 hours, XRP’s price registered a hike of 1.19 percent, after having registered a 24-hour trading volume of $1 billion.
1-hour chart
Source: XRP/USD, TradingView
According to XRP’s 1-hour chart, the cryptocurrency’s price movement has been stuck in an ascending channel formation for over a day now. While the expected breakout is more likely to be in the direction south, that would mean that XRP’s price is likely to head towards its nearby support at $0.206 in less than a day’s time. However, if the coin were to manage to stay within the ascending channel formation, there is a high chance that XRP’s price will try to breach the resistance at $0.208.
At press time, XRP had strong points of support that had been tested in the past few days at $0.206, $0.204, and $0.202. Once the price breaks out and if bearish pressure were to force the coin’s price down, XRP’s price may stabilize around the $0.202 – $0.206 level.
Source: XRP/USD, TradingView
According to hourly charts, the MACD indicator may soon undergo a bearish crossover if the signal line and the MACD line continue on their respective trajectories. However, the RSI indicator continued to remain close to the overbought zone, at the time of writing.
Source: CoinMetrics
Altcoins normally tend to have a high correlation with the world’s largest cryptocurrency, Bitcoin, but the past few months have indicated otherwise. XRP’s correlation to Bitcoin has swayed considerably over the past 3 months, falling from 0.82 to 0.80, according to data provided by CoinMetrics.
Conclusion
After having been in an ascending channel formation, XRP’s price is likely to note another price correction. If the coin breaks out of the formation in the following 24-hours and the immediate support fails, XRP is likely to hit $0.204. However, if the formation were to continue, the next resistance at $0.208 is a likely destination for the coin’s price.
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