Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
-The lower time frames, such as the 1 hour hour, showed that the structure could turn bullish soon.
-Once this is done, XRP bulls can look for buying opportunities at a new test.
On March 16, Ripple [XRP] started a rally from $0.356 to $0.585 on March 29, with gains of 64%. The retracement has since stopped near the $0.48-$0.5 support area. Analysis of lower timeframe XRP price charts showed that another move towards the $0.6 resistance was imminent.
Read Ripples [XRP] Price Forecast 2023-24
The formation of higher lows after defending the $0.5 support, coupled with a bullish outlook for a lower timeframe, meant that a breakout above $0.53 was likely for XRP. A retest of this level could present a buying opportunity.
The breakout beyond the short-term range seemed increasingly likely
Source: XRP/USDT on TradingView
The 20 and 50 period moving averages showed bullish momentum, as did the RSI reading at 59. The OBV surged over the past week as XRP bounced off the $0.5 support level. The price action was also bullish for two main reasons.
The first was the mid-range defense at $0.505. The range (white) stretched from $0.48 to $0.529, and XRP has been trading within this range since April 2, indicating that these levels are important in the near term.
Over the past ten days, XRP bulls bravely defended the $0.5 mark as it was a psychologically round number as short-term medium-term support, and most importantly, a higher time frame as well. The rising BB width indicator showed that an expansion phase could follow, reinforcing the idea of a bullish breakout.
The second reason was the formation of higher lows after the $0.5 bounce and the possible formation of an hour-long bullish order block in the area highlighted in cyan. If XRP can close an hourly session above $0.53, a retest of the $0.515-$0.525 area would be a buying opportunity. Bulls can anticipate a range breakout and target the $0.58-$0.6 area, the next higher resistance in the time frame. The stop-loss can be set below the H1 bullish order block at the $0.51 level.
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Sentiment remained strongly bullish behind XRP
Source: Coinalyse
According to data from Coinalyze, April 8 was the most recent increase in Open Interest when the price was in a downward movement in a lower time frame. This signaled extreme bearish sentiment, but it only lasted for a few hours. At the time of writing, both prices and OI were in an uptrend, pointing to bullish speculators. The funding rate was also positive, showing that long positions were in the majority.
In the past 24 hours, the sharp drop from $0.534 to $0.515 caused nearly $1.3 million in long positions to be liquidated in a matter of hours, but liquidation data has since held steady.
This post With XRP bulls gaining momentum again, a push to $0.6 could become a reality if…
was published first on https://ambcrypto.com/as-xrp-bulls-regain-strength-a-push-to-0-6-could-become-reality-if/
