Cryptocurrency analyst Steph points out an “interesting” chart, which was previously XRP price increase. This came after analysts suggested that the altcoin may be forming a bottom in preparation for another rally.
Analyst explains why this chart is interesting for XRP price
in ×postSteph highlighted the three-week XRP price chart and said it was one of the reasons it was “interesting.” He revealed that the Stochastic Relative Strength Index (RSI) has declined to 0.00 over a three-week time frame. This is extremely rare and has only happened once so far, in 2022. bear market bottom.
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Steph further explained that on such a high time frame, this indicator will only reach zero if: selling pressure It is completely depleted and this is positive for XRP price. The analyst added that this meant the downside momentum was gone, but cautioned that it did not mean prices had to reverse immediately.
Steph pointed out that the last time this signal appeared, XRP price entered a long accumulation phase before the next big rally. As such, analysts say this again suggests downside risks are structurally limited. long term holder It is absorbing supply rather than distributing it. He further said that these signals tend to mark cycle lows rather than short-term trades.
of XRP ETF These funds maintain continuous inflows, which is also positive for XRP price. These funds have been recording daily inflows since the canary fund was launched on November 13th. As a result, it now boasts a net worth of over $1.1 billion, even as XRP continues to enjoy strong demand from institutional investors.
XRP remains below key levels
in ×postCryptoXLarge said that on the weekly chart, XRP price remains below the downtrend line around the 8-21 EMA level. He further said that prices are about to break down this week. key support zone At around $1.95, it coincides with the 89-week EMA, the Fib 0.5 level and support that has held throughout the year.
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CryptoXLarge said that a weekly close below this level could increase the likelihood of a move towards the $1.60 support at Fib 0.618. On the other hand, if the weekly closing price exceeds $1.95, buying interest will increase and may cause a sense of relief. XRP price increase $2.30 and then towards $2.70. crypto analyst Crypto King also reacts There are similar sentiments, saying that a return to $1.98 could see the altcoin eventually rise to $3.66.
As of this writing, XRP price has increased over the past 24 hours and is trading at around $1.87. data From CoinMarketCap.
Featured image from Adobe Stock, chart from Tradingview.com
