Ripple analysis: recovery may target $0.3000 level
12:18, 6 March 2020
Ripple has finally started to stabilise, after the third-largest cryptocurrency by market capitalisation found strong technical support from just above the $0.2200 level.
Ripple analysis shows that that cryptocurrency could test back towards the $0.3000 level if bulls can gain traction above the $0.2500 level.
Ripple medium-term price trend
Ripple has started to consolidate in a narrow price range over recent days, after the XRP/USD retraced over 30% from the current 2020 trading high.
The broader cryptocurrency market has also started to appear more bullish over recent days, although crypto traders remain cautious after the late-February market pullback.
Ripple price analysis shows that a breakout above the $0.2500 level could see the cryptocurrency testing back towards the $0.3000 level.
A move above the $0.2500 level would push the XRP/USD above its 200-day moving average, and encourage the notion that a major technical bottom was formed last week.
Key medium-term resistance prior to the $0.3000 level is located at the $0.2800 and $0.2930 levels.
It is also noteworthy that Ripple’s key 50-day moving average is located slightly above, around the $0.2550 level.
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Ripple short-term price trend
Ripple technical analysis shows that the cryptocurrency is likely bearish over the short-term while price trades below the $0.2680 level.
A number of patterns are starting to develop across the lower time frames that suggest that a rally towards the $0.2680 level may be forthcoming.
Looking at the four-hour time frame a bullish inverted head-and-shoulders pattern with $0.0200 upside potential will be triggered if the $0.2480 level is breached.
A large bull-flag pattern is also seen across the lower time frames, with the bottom of the pattern located around the $0.2380 level.
Gains above the $0.2380 level could see buyers testing towards the top of the bull pattern, around the $0.2990 level.
Ripple technical summary
Ripple technical analysis indicates that the cryptocurrency could start to push higher after trading sideways for numerous days. A move above the $0.2480 level could encourage a rally towards the $0.3000 level.
Read more: Ripple price prediction: where next for XRP?
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