- Ripple price recovery from the recent dip under $0.17 hits a wall at $0.18.
- XRP/USD stalls at the 38.2% Fibonacci level; forcing the bulls to settle for consolidation.
Ripple price continues to narrow down a descending trendline. It is apparent that gains are an uphill task. For instance, there was an attempt to overcome the seller congestion at $0.19 on June 24. However, the bullish momentum hit a snag, sabotaging any plans for pushing XRP towards $0.20. Consequently, a reversal took place, forcing the fourth-largest cryptocurrency below several key levels including the moving averages, $0.1850 and $0.17.
Last week, a weekly low was traded at $0.1691 (Fibonacci swing low), hinting that, XRP could fall further unless a recovery comes into the picture. While bulls joined the market, to some extent gains were unsustainable towards $0.18. For this reason, Ripple is flirting and consolidating at the 38.2% Fibonacci retracement level of the last drop from $0.1905 to a low of $0.1691.
The digital asset currently has a market value of $0.1774 amid technical calls to embrace sideways trading action for a while. The RSI is moving horizontally at 50 (average), essentially locking in the consolidation period. The same is emphasized by the MACD with its sidelong motion at the midline. Intriguingly, a minor bullish divergence is visible with the MACD which means that despite the sideways action, XRP bulls have an upper hand.
On the downside, support is expected at the 38.2% Fibo as Ripple gets ready for lift-off towards $0.18. The 50 SMA is in line to offer the much-needed support, in addition to $0.1750 and $0.17.
Above all, consolidation is likely to take precedence from now henceforth. Bulls also have their eyes on $0.18 as it would set the framework for taking down supports turned resistances at $0.1850 and $0.19.