Ripple analysis : $0.2350 key weekly pivot
Ripple analysis shows that the cryptocurrency recently failed to move above critical resistance. XRP/USD may trade lower before heading higher again.
Ripple has retreated from the $0.2500 resistance level, after the third largest cryptocurrency by market capitalisation posted its strongest weekly advance since October 2019.
Ripple technical analysis indicates that the cryptocurrency needs to hold above the $0.2350 level in order to continue its recent advance.
Ripple medium-term price trend
Ripple technical analysis shows that the cryptocurrency recently found strong resistance from the $0.2550 level after falling just short of its 200-day moving average.
The daily time frame shows that the XRP/USD pairs 50-day moving average offers the strongest form of technical support, around the $0.2100 level, if a stronger down move takes hold.
With the broader cryptocurrency market in retreat it is entirely possible that Ripple may be headed lower before it heads higher again.
The fact that the cryptocurrency failed to overcome its 200-day moving average certainly hints that medium-term bears are still selling rallies in XRP/USD.
Traders that are bullish towards XRP/USD over the medium term may await a more attractive entry point this week.
Weakness in Bitcoin and other altcoins may provoke a deeper pullback. The daily time frame continues to highlight the $0.3000 level as a valid bullish target while the $0.2100 level holds firm.
Ripple short-term price trend
Ripple technical analysis over the short term shows that the cryptocurrency is bullish while price trades above the $0.2040 level.
The XRP/USD pair is currently trading around the neckline of a bullish inverted head-and-shoulders pattern on the four-hour time frame, around the $0.2350 level.
The overall upside projection of the bullish pattern suggests that XRP/USD pair could test towards the $0.2800 and $0.3000 levels.
Traders will likely use the $0.2350 level as a key pivot point this week, with short-term players turning more negative towards XRP/USD if the $0.2350 level is consistently breached.
Short-term sellers may start to target the $0.2150 and psychological $0.2000 level if price starts to settle under the $0.2350 level.
Traders should note that a drop below the $0.1850 level would invalidate the bullish reversal pattern.
Ripple technical summary
Ripple analysis suggests that the cryptocurrency may start to turn lower before rallying again
Watch the $0.2350 level, as it is likely to act as a key pivot point this week.