Bulls Believe XRP May be Consolidating into Critical Support

  • XRP’s unique behavior has attracted significant interest from the bulls.
  • Dropping into the $0.35 region could generate a bullish sentiment that would reverse XRP’s trend.

In a season when most cryptocurrencies rallied in price, the XRP price embarked on a consolidation that has attracted the attention of crypto users. Bitcoin rallied with significant volatility, breaking past the $26,000 price level. It dragged along the second largest cryptocurrency by market capitalization, Ethereum, and other altcoins.

Almost all the other top 10 altcoins on CoinmarketCap, apart from the XRP, rallied in unison. XRP’s unique behavior has generated interest, attracting close observations from the bulls who may be targeting a potential bounce from the next significant support.

Source: TradingView

As seen in the XRP price behavior, the downtrend appears to be running out of momentum, with the most recent daily candles reflecting an outright bullish sentiment. However, considering the recent behavior of the token, those displays do not guarantee a trend reversal. At best, it reflects the growing interest among the bulls who may be looking for a better entry point to push the token higher.

Breaking below the $0.35 region could see XRP fall lower to the more significant support between $0.3333 and $0.3375. However, there are minimal expectations that the price would drop that low, considering that the overall crypto market is reflecting a bullish sentiment, and XRP is considered one of the top cryptocurrencies by many crypto users.

Previously, XRP’s price turned downward when an attempt to rise above $0.4 failed. At the rejection, the price experienced an 8% pullback, which under normal circumstances may not appear significant. However, of more importance is the technical behavior of XRP which portrays a descending trend that could push the price further down.

As of the time of writing, XRP traded at $0.3714, with a bearish momentum that could see the price drop into the strong $0.35 region. Falling into this region could justify the popular bullish sentiment that could see the price bounce toward the $0.4 region.

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