A potential entry trigger for XRP investors, traders can be found here

Disclaimer: The findings of the following analysis are the only opinions of the writer and should not be considered investment advice

XRP returned steeply to its long-term oscillation range after breaking the nine-month resistance at $1.3. With this fall, the alt fell below the vital $1 mark and the 200 SMA (yellow) flipped from support to resistance.

A convincing close above the $0.77-$0.82 range would prime XRP for a retest of its 200 EMA, before turning its Point of Control (POC, red) into immediate support. However, this range represented a confluence of multiple hurdles, including the 50 EMA and the direct feed zone.

At the time of writing, XRP was trading at $0.7585, down 2.92% in the past 24 hours.

XRP Daily Chart

Source: TradingView, XRP/USDT

During the last bearish phase, XRP fell below the 20-50-200 EMA and broke some crucial levels. But the $0.6 support has been solid for the past 11 months. For example, it saw an ROI of 53.5% from February 3-8 when it broke out of the channel.

Since then, the altcoin has noticed a precipitous drop, one that led to the first retest of the upper trendline channel (white). For the past few days, the bearish engulfing candlestick has created a strong supply zone in the $0.77-$0.82 range. This level also coincided with the POC.

Taking into account the morning market trader pattern since Feb. 24, XRP hinted at a strong rejection of lower prices. Accordingly, the chances of testing the USD 0.79 resistance have increased. A lock above this level would open gates for a test of $0.86. This trajectory would only be possible if the bulls continue to confront the bears in the feeding zone.

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Source: TradingView, XRP/USDT

After reaffirming the 43 support, the RSI saw a breakout of a falling wedge, one that prompted it to breach equilibrium. A sustained close above this level is needed to confirm the bulls rebound.

Also, the MACD lines appeared to be on the brink of a bullish crossover. The investors/traders should look out for the first green signal on the histogram for a possible entry trigger.

Conclusion

Given XRP’s proximity to its near-term EMAs, the likelihood of a volatile move in the coming days is high. Any close above the current down channel (yellow) could lead to a POC retest followed by the 200 EMA in the long run. Should the bulls decline, XRP could enter a tight phase near its feeding zone.

Additionally, it would be important to keep an eye on Bitcoin’s movement and broader sentiment to complement the aforementioned analysis.

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