Cryptocurrency analytics firm MakroVision has assessed the current chart outlook for Ripple (XRP). The company says that XRP is in a critical testing phase after breaking out of a months-long downtrend.
Whether this situation is a harbinger of a sustainable rise or just a bull trap will become clear in the coming days.
According to the analytics company, XRP has managed to break above the long-standing red downtrend line. Similar breakouts have been followed by rapid pullbacks in the past, but this time the pullback is softer and is progressing in a corrective structure. The price is currently trading at around $2.03, which is the area where the broken trend line is being retested. This level is critical for direction.
According to MakroVision, the critical resistance and support levels are as follows:
- $2.20 to $2.23: First strong resistance band ahead.
- $2.29 level: It stands out as the 0.382 Fibonacci retracement level.
In the bullish scenario, the next targets are $2.48 and then $2.65. Above this level, there could be room to open up to the “golden pocket” region.
- $2.03 level: The broken trend line needs to act as a retest zone.
- $1.96: Last structural support. A drop below this level could jeopardize the positive technical outlook.
Analysts made the following final comments:
“XRP is showing strength again. However, this time its durability is being tested. If it can hold above $2.03, it could be a strong bullish sign. Otherwise, a drop below this level could put selling pressure on investors.”
*This is not investment advice.
