XRP bounces from mid-range support, but advantage remains with bears

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Dis­claimer: The infor­ma­tion pre­sent­ed does not con­sti­tute finan­cial, invest­ment, trad­ing, or oth­er types of advice and is sole­ly the writer’s opinion.

  • The high­er time­frame struc­ture was bear­ish, but on low­er time­frames, it had flipped bullish.
  • A move upward to the resis­tance at $0.395 is likely.

Rip­ple [XRP] trad­ed with­in a range and the bulls forced a bounce from the mid-range mark at $0.37. While this bounce inspired low­er time­frame bull­ish momen­tum, the evi­dence at hand showed that $0.395 could pose stiff resis­tance to the price.


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Hence, XRP buy­ers from the $0.37 area can use a test of the $0.38-$0.39 area to take prof­its. There­after, a break­out upward or a rejec­tion will reveal the direc­tion of the next move.

The Visible Range Volume Profile shows stiff resistance ahead for XRP

XRP bounces from the mid-range support but bears still have the advantage

Source: XRP/USDT on TradingView

The VPVR tool showed the Point of Con­trol (red) to lie at $0.387. Above this lev­el lay a hor­i­zon­tal long-term sig­nif­i­cance lev­el at $0.395. Hence, it was like­ly that the bounce from $0.37 would meet stern resis­tance in this zone. Yet, the defense of $0.37 is sig­nif­i­cant as well.

Since Novem­ber, XRP has trad­ed with­in a range (yel­low) between $0.33 and $0.41. The mid-point of this range was $0.37. The sell­ing pres­sure in Feb­ru­ary saw XRP unable to break out past the range highs and was forced to drop to the mid-range mark.

Although the Awe­some Oscil­la­tor was beneath the zero line to denote bear­ish momen­tum held sway, buy­ers can be on the look­out. Low­er time­frames such as the one-hour show the mar­ket struc­ture was flipped to bull­ish, and the $0.372-$0.376 region will be defend­ed by buyers.

How­ev­er, the struc­ture and momen­tum on the dai­ly time­frame were bear­ish, so any buys from $0.37 could be sold around the $0.39 area. The CMF was in neu­tral ter­ri­to­ry and did not show strong cap­i­tal inflow yet.


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Stalled Open Interest suggested sentiment remained bearish

XRP bounces from the mid-range support but bears still have the advantage

Source: Coin­a­lyze

The four-hour chart showed ris­ing OI from 10 – 12 Feb­ru­ary. Dur­ing this time, the price stayed flat at the $0.383 mark. The drop to $0.364 that began on 13 Feb­ru­ary caught many long posi­tions off­side. The liq­ui­da­tion data showed near­ly $2.3 mil­lion worth of long posi­tions liq­ui­dat­ed on 13 February.

After this, XRP’s bounce from $0.37 did not see a rise in the Open Inter­est. This meant that sen­ti­ment was bear­ish and mar­ket par­tic­i­pants did not trust the ral­ly of the past cou­ple of days. The spot CVD was also in a sharp down­turn to show sell­ing pressure.

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