SEC-baffled XRP trades remain in the red zone despite top coins experiencing significant gains. This is a sign that the market has finally gained some space. Although October is a month that has been favorable to the market, it was rough beginnings for top coins in October. The majority of top coins were traded in the red area, but others like XRP experienced huge volatility.
After some gains, the Uptober spirit seems to have fallen on XRP. However, the momentum didn’t last long as XRP is now down 1.44% in the last 24 hours. Bullish news about XRP’s ongoing battle with the SEC is providing some hope. As more companies sign up, Amicus curiaeThe bulls could use this advantage to drive the XRPs prices further.
XRP trades red amid rough week
It was a difficult week for cryptocurrency markets. While most major coins are experiencing significant changes, XRP remains behind. XRP is currently trading at $0.45, representing a decrease of about 1.44% over yesterday’s close. This brings XRP’s 7-day rough chart down to 5.17%.
The bears are not giving up, even though XRPs per day is a good indicator. It is possible that there will be more fighting before the end. If we get any good news, we’ll see XRP climb higher.
The Support Line for XRP Drops Back to $0.45
XRP attempted to test new resistance lines yesterday, but it fell back to the $0.45 support level. Yesterday’s test of $0.47 was the first since Thursday. It failed to make it through and plummeted back to $0.45.
Even though the Trendline has broken, resistance is still present
The trendline resistance (white), which had been in place for the past 10 days, was finally broken just before writing. However, the $0.45 region was a strong area of support and opposition in the short-term. A correction was also needed in the market’s short term structure.
Even though the RSI reading still exceeds 50, it indicates an increase in relative strength. The Chaikin Money Flow, (CMF), indicator was positive for more than a full week. It indicated substantial capital input at shorter time periods.
The market structure remains bullish on the daily chart. However, if the market closes the day below $0.44 it could change. The $0.422 mark was the XRP’s high point between May and September. A return to the $0.422 mark could trigger an explosive bullish reaction. However, if Bitcoin had a sharp decline below $18.6k, XRP’s value would most certainly drop below $0.42 as well. This could lead to a gradual decline in price, possibly reaching $0.34 over the next few weeks.
Featured image taken from Pixabay. Chart from TradingView.com