The XRP price converges to US $2.15 with the Bollinger Bands narrowing, an indicator that the coin will shortly experience a low volatility period that usually later results in a price trend.
The resistance at the level of $2.23 will be vital, and the historic rejections pose a burden on the buyers to make the convincing breakout.
More than 79% of XRP investors are making a gain, which minimizes the possibility of a massive sell-off and acts as a pillar to the prevailing stability in the price.
The XRP is currently valued at $2.15 on Wednesday, with a 0.9% growth in the last 24 hours, according to the coinmarketcap. The cryptocurrency has been trading in a pretty steady position after hitting the lowest mark of the day at about $2.12. Current technical indicators indicate that the market has been getting less and less volatile, as the Bollinger Bands continue to thicken on a daily basis.
The middle Bollinger Band is already situated at 2.19, and this became a key reference point for both bull and bear traders. The currency managed to break out towards the higher level of 2.32 in the past few days, but it lacked the support to surge at that level. But, mostly the fluctuation of the currency in the past week has been around this point.
Source: TradingView
This is because the closing up of Bollinger Bands invariably precedes a move. In the case of XRP, the historical tendency demonstrates that there is a tendency of a rebound whenever a price touches the lower band. This would be its lowest level currently at 2.08, and every time the asset would come close to this mark, it would react favorably.
XRP is near a major resistance level of $2.23. This level has been a barrier on several occasions during the past month. In case consumers manage to sustain this energy and break through this barrier, the next price target of the XRP might be around the 2.50 mark.
Decreasing Volumes Can Postpone An Upward Pressure
Although indicators in the price are depicting the possibilities of a change, the volume of trades suffered a decline of 22.43%, which is currently standing at 2.47 billion. A breakout that follows any increment beyond the value of $2.23 will probably need greater levels of buying power to affirm the breakout and support continued upside.
About 79% of XRP owners are still in profit with the current standing of the market. The trend decreases the chance of significant sell-offs, which can enable XRP to stay afloat and even progress in case of an improvement in the general market conditions.
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