Ripple’s XRP token price is showing bullish signs above a crucial support zone and may soon start an upward move towards its nearest resistance.
The price of XRP had been in decline since its peak at $1.96 on April 14, 2021. So far, it has declined by 62%.
However, it is possible that the token reversed its bullish trend after hitting a low of $0.50 on June 22, 2021 (green circle). The rebound that followed led to an upward movement that continued for 76 days and exhibited a magnitude of 176%.
Although XRP has since fallen, it has bounced off the $0.72 horizontal zone twice (green arrows), creating two long wicks lower each time.
Thus, as long as the token is trading above this zone, the possibility that the trend is still bullish remains intact.
Next price move
An analysis of the daily time frame technical indicators offers a bullish outlook. This is especially noticeable due to the considerable bullish divergence that has developed in both the RSI and MACD (green lines). This is a bullish sign that very often precedes significant upside moves.
Currently, XRP is following a descending resistance line. If the divergences have an impact and the token breaks above this line, the closest resistance levels would be at $1 and $1.30 respectively. These are two horizontal resistance levels.
The XRP/BTC pair
the trader @BTC_y_tho shared a chart of the XRP/BTC pair on Twitter, saying the price is approaching an all-time low in volatility.
The XRP/BTC chart shows that the token has already broken above a descending resistance line. Despite the lack of bullish movement, it consolidated stably above the 1700 satoshi support zone, hence the decrease in volatility.
If an upside move occurs, the nearest resistance area will be at 2,800 satoshis.
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