Crypto News 001
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Bearish
#Xrpš„š„ $XRP XRP price: Inflation shock triggers selloff
XRP's brutal 6% plunge to $3.07 is a great example of the broader market's inflation panic. The Ripple-linked token dipped hard and cancelled out this weekāsĀ gains, unable to break past the $3.40 price resistance.
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XRP price data. Image: TradingView
The RSI at 50 sits right at the perfectly neutral lineāneither overbought nor oversold. After XRP's massiveĀ runĀ from $2.00 to nearly $3.70, this middling RSI actually represents healthy consolidation rather than weakness. Itās like a marathon runner catching their breath at the halfway pointānot exhausted, but regrouping for the next leg. Traders view this neutral RSI as a "reload zone" where accumulation often occurs before the next directional move.
The ADX at 30 confirms we're still in a trending environment despite today's selloff. Readings above 25 indicate established trends, and at 30, the trend strength remains intact even amid the volatility. This suggests today's drop might be aĀ correctionĀ within a larger uptrend rather than a full reversal. Think of it as the market taking two steps back after taking five steps forward.
Day and swing traders might do well watching out for a possible double top formation that takes prices down near the EMAs once again. (Thatās when prices create an āMā shaped movement, failing to break a resistance on two different occasions before switching to a bearish move.)
The 50-200 EMA spread remains bullish with the faster average above the slower one, maintaining the bullish formation. Each moving average acts as a potential support level during pullbacks, giving buyers multiple opportunities to step in. This configuration typically holds during healthy corrections and only breaks down during genuineĀ bearĀ markets.
XRP's brutal 6% plunge to $3.07 is a great example of the broader market's inflation panic. The Ripple-linked token dipped hard and cancelled out this weekāsĀ gains, unable to break past the $3.40 price resistance.
ļæ¼
XRP price data. Image: TradingView
The RSI at 50 sits right at the perfectly neutral lineāneither overbought nor oversold. After XRP's massiveĀ runĀ from $2.00 to nearly $3.70, this middling RSI actually represents healthy consolidation rather than weakness. Itās like a marathon runner catching their breath at the halfway pointānot exhausted, but regrouping for the next leg. Traders view this neutral RSI as a "reload zone" where accumulation often occurs before the next directional move.
The ADX at 30 confirms we're still in a trending environment despite today's selloff. Readings above 25 indicate established trends, and at 30, the trend strength remains intact even amid the volatility. This suggests today's drop might be aĀ correctionĀ within a larger uptrend rather than a full reversal. Think of it as the market taking two steps back after taking five steps forward.
Day and swing traders might do well watching out for a possible double top formation that takes prices down near the EMAs once again. (Thatās when prices create an āMā shaped movement, failing to break a resistance on two different occasions before switching to a bearish move.)
The 50-200 EMA spread remains bullish with the faster average above the slower one, maintaining the bullish formation. Each moving average acts as a potential support level during pullbacks, giving buyers multiple opportunities to step in. This configuration typically holds during healthy corrections and only breaks down during genuineĀ bearĀ markets.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content.Ā See T&Cs.
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