The price of XRP, just like the rest of the cryptomarket, is confronted with a short withdrawal. XRP Momentum has lost on the daily period while Bitcoin cools down, and because most altcoins tend to follow Bitcoin’s lead, XRP is no exception. When Bitcoin drops aside or moves sideways, altcoins often respond with sharper drops, and that is exactly what is happening now.
Bitcoin Dominance is currently quite strong, which means that Bitcoin keeps its value better than many altcoins. This puts extra pressure on coins such as XRP, which are now struggling to stay above important support levels. XRP recently slid around $ 2.30 under a key support area.
Is there a bullish pattern formation?
With this level lost, analysts now hold the next important zone, which is between $ 2.10 and $ 2.15. If XRP does not hold here, the next important level to look would be around $ 2.00, and below that, there is some support near $ 1.80.
Interesting is that there is a bullish setup that forms on the daily graph. There are early signs of a reverse head and shoulder pattern, which is a classic reversal that could indicate a greater step to the advantage.
Short -term prospects
In order to actually play this pattern, XRP should stabilize somewhere in the lower range of $ 2, probably between $ 2.00 and $ 2.15, before he bounces back to $ 2.62. A confirmed outbreak above this higher level would be a strong bullish signal, possibly opening the door to new highlights. But for now this pattern is only a possibility and not confirmed.
XRP has also lost a little positive momentum in the shorter time frames. A bullish divergence in the short term has recently failed because the price and RSI made both lower lows, so that the divergence was canceled. This indicates the potential for further disadvantage in the immediate term, with the following likely stop around the $ 2.10 area.