Ripple price rose 11% as buyers seek to regain control after a weekly close above $1.00
After a week of selling pressure that pushed the cryptocurrency from $1.96 down to $0.91, XRP has climbed back above $1.00. At the time of writing, XRP is trading around $1.17 against the US dollar. If bullish momentum continues, the coin could break higher.
The broader market is showing upward movement, with several altcoins posting significant gains at the weekly open. This positive sentiment should support the bullish outlook for the XRP/USD pair and provide short-term upward momentum.
A pseudonymous crypto analyst notes that a doji candlestick on the daily chart for both XRP/USD and XRP/BTC signals a bullish reversal. If prices follow through on this bullish trend, the analyst predicts a move toward $1.40.
XRP Daily Technical Outlook:$XRP and XRPBTC both closed as a doji. This is a bullish reversal zone for XRP. We should get a bullish breakout above the blue trendline in XRPBTC which will push XRP above $1.2000 towards $1.4800 ⚡️ pic.twitter.com/9qaOtEoxP6
— CRYPTOWZRD (@cryptoWZRD_) April 26, 2021
XRP Price Outlook
As noted above, the weekly close printed a doji candle for XRP, highlighting market indecision ahead of the week’s end.
Amid this uncertainty, XRP hovered around the 61.8% Fibonacci retracement level of the rally from $0.45 to $1.96. However, an 11.4% daily gain suggests that the existing stalemate may be resolving to the upside.
The picture is not entirely bullish. The MACD sits above its signal line, indicating a hidden bullish divergence despite ongoing selling pressure, as the histogram bars illustrate. The daily RSI also points to a potential bullish reversal if it climbs above the 50 level.
Buyers pushed the price above $1.19 and are now attempting to overcome resistance at $1.20, near the 50% Fib level of the move from $0.45 to $1.96. If buying pressure drives XRP past this supply barrier, the next target could be $1.38. From there, increased demand might challenge the 23.6% Fib level around $1.60, opening the door to additional gains if that resistance zone breaks.
If the cryptocurrency fails to hold above $1.20, it could face renewed downside pressure. Bears would likely target the psychologically important support at $1.00.
Bulls should be able to defend that area, as they did over the past weekend. However, a break below $1.00 could allow sellers to aim for the 50 SMA support near $0.86. A more significant bearish turn could see the horizontal support at $0.65 come into play as a possible demand zone.