- XRP broke past a falling trend line resistance, but eventually formed a range
- Drop below the center range can be stopped for the time being
XRP saw a walk in open interest and climbed to almost $ 5 billion when the SEC formally initiated an assessment of the Wisdomtree XRP Trust. Even if the assessment did not confirm the approval, it has shown that the SEC has given the subject serious focus. As expected, this has stimulated this speculation around XRP.
Technical analysis even showed that the Altcoin approached a low from the beginning of May, something that could yield a bullish price reaction. However, the indicators were Bearish at the time of the press, just like Bitcoin’s [BTC] Short -term momentum.
XRP sales pressure is starting to intensify
Source: XRP/USDT on TradingView
In the second week of April, it seemed that XRP had initiated a recovery after a strong price decrease. This came after recurring the falling trendline (white). However, the price action in recent weeks showed that a range was the most likely answer, and not a bullish recovery.
The medium -range level of the set range (purple) was at $ 2.27. This level has been respected since March, which greatly strengthens the idea of a range. In addition, XRP was confronted in mid -May with rejection on his highs of March.
This was the reach high at $ 2.6. At the time of the press, the price was again below the middle range, after he had tested low at the beginning of May at $ 2.08. The CMF was at -0.07 and showed heavy capital flows from the market. The DMI also underlined that a bearish -trend built up and the OBV was sliding lower.
Source: Coinglass
The technical findings emphasized noticeable sales pressure behind the recent losses. From the 1 -month liquidation heat, it has been shown that significant magnetic zones have been swept in recent days. One liquidity cluster was left in the $ 2.05 region.
That is why it seemed likely that this zone would be visited again, especially if the sales pressure is not quickly illuminated. Traders can take a brace for a step to $ 2- $ 2.05.
Disclaimer: The presented information does not form financial, investments, trade or other types of advice and is only the opinion of the writer