XRP/USD is trading slightly below the 88 cents ratio in early trading today, but it has not come without a fight. Late trading last night saw a sudden spike lower emerge which took Ripple to nearly 85 cents, this after achieving a high above 91 cents only a handful of hours before. Perhaps profit taking hit XRP/USD, but what should intrigue speculators is the notion that Ripple got off of the ground and then moved higher again.
While this morning’s highs are not yet near the values made yesterday, XRP/USD is within sight of important mid-term resistance. XRP/USD is now a hair below prices seen in the second week of February, when the 90 cents juncture was flirted with from the 7th until the 10th of the month. Yes, XRP/USD like the broad cryptocurrency market was hit by a wave of selling shortly after the early February highs, and on the 24th of the month Ripple was near 62 cents.
However, it can be argued that XRP/USD has been able to produce an incremental climb higher since touching this low in February. And if current resistance levels are actually toppled, XRP/USD would sincerely be within sight of values not traded since late December of 2021. While nervous bearish selling has been prevalent for many months, suddenly XRP/USD may be within the clutches of a more optimistic trajectory. If Ripple can sustain its current price above 0.87700 this may be a positive signal for the cryptocurrency.
Traders who are skeptical of the move XRP/USD has made the past week may want to attempt selling positions, but they should be conservative with the amount of leverage they use and have their stop loss orders working. Perhaps trades that aim for quick hitting reversals lower towards support levels could produce profitable outcomes, but for the time being wagering on a big move downwards would be going against the present trend.
Bullish traders who want to pursue upside potential cannot be blamed, but yesterday’s sudden spike lower in XRP/USD should serve as a reminder that volatility remains abundant within Ripple. However, if XRP/USD can consolidate within its current price range, there is reason to suspect another push higher could erupt. If the 88 cents level is toppled again and sustained, traders may target 88 and half cents and perhaps even the 89 cents price levels as goals.
Current Resistance: 0.88350
Current Support: 0.87550
High Target: 0.91100
Low Target: 0.86030