Ripple (XRP) price has dropped by 11.09% over the last 30 days, and current indicators suggest further caution. The Relative Strength Index (RSI) is at 38.93, indicating a downtrend but not yet signaling oversold conditions.
This means that XRP’s correction may still have room to continue before finding strong support. Additionally, while the Chaikin Money Flow (CMF) is positive at 0.11, this hasn’t translated into price growth, indicating that confidence in XRP is still weak.
XRP RSI Is Still Far From Oversold
XRP’s RSI is currently at 38.93, indicating that the asset is in a downtrend but not yet oversold. This level suggests that selling pressure is still present, though it hasn’t reached extreme levels.
The Relative Strength Index (RSI) is a momentum indicator used to measure the speed and change of price movements. It ranges from 0 to 100, with values above 70 indicating overbought conditions and values below 30 suggesting an asset is oversold.
Read more: Ripple (XRP) Price Prediction 2024/2025/2030
With the RSI hovering above the oversold threshold, it signals that there could still be room for further downward movement for XRP price before buyers step in.
Ripple CMF Is Positive, But This May Not Be Enough
XRP’s Chaikin Money Flow (CMF) is currently at 0.11, indicating some positive buying pressure. However, a positive CMF reading doesn’t always mean the market is bullish. Despite being in the positive zone, this value alone doesn’t provide enough confidence for a clear upward trend.
The Chaikin Money Flow (CMF) is an indicator that measures the buying and selling pressure of an asset, ranging between -1 and 1. When CMF is positive, it shows that buying pressure is greater than selling pressure. In recent months, even when XRP’s CMF has turned positive, it hasn’t consistently led to price gains.
Over the past few weeks, CMF readings have become notably positive, yet XRP’s price failed to surge. This suggests that holders may still lack strong confidence in XRP, and a higher CMF value could be needed to trigger significant price growth.
Ripple Price Prediction: A Potential 23% Correction Soon?
XRP’s price is currently trading below all the EMA lines, suggesting a bearish sentiment. The EMA lines are sloping downwards, with shorter-term EMAs positioned below longer-term ones, which further confirms the prevailing downtrend.
This alignment indicates that the selling pressure is dominating, and there isn’t much momentum for a strong upward movement yet.
Read more: XRP ETF Explained: What It Is and How It Works
Key resistance levels are marked at $0.56 and $0.61. For a potential bullish reversal, XRP needs to break above these resistance zones to regain positive momentum. An uptrend could appear if XRP wins its legal battles against the SEC or if its ETF is approved.
On the downside, support levels at $0.43 and $0.40 provide a safety net if the price continues to fall. That means a potential 23% correction in the XRP price.
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
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Tiago Amaral
https://beincrypto.com/ripple-xrp-price-weak-recovery/
2024-10-25 22:30:00
