- Ripple price recently rebounded off daily demand territory, stretching between $0.694 and $0.753.
- The resulting upside could not continue, and XRP returned to the nearest support floor to kick-start another upswing.
- Breaching the $0.694 support floor will invalidate Ripple’s bullish outlook.
Ripple (XRP) has had its price wavering around a critical high timeframe support zone for months. That latest retest of this level should have launched a lucrative upward move, but XRP encounters many obstacles, translating to truncated upswings.
Ripple Price Contemplates a Swift Move
The remittance token bounced off the demand territory, ranging between $0.694 and $0.753, resulting in a 15% surge. Nevertheless, the rally experienced reversals before retesting the resistance zone at $0.817. The downward move saw the altcoin back to retesting the mentioned demand zone.
If the cross-border transaction manages to launch another upswing, there is a high probability it will not move more than 10%. That is because of the 50-day SMA at $0.851. Overcoming this obstacle will clear the road for a 12% surge. With that, XRP will revisit 200-day Simple Moving Average at $0.953.
Such a move will comprise a 22% surge. However, it has a low chance of happening than the 10% upswing towards the 50-day Simple Moving Average. Any action past the 200-day Simple Moving Average appears unlikely because of the 100-day Simple Moving Average of $0.984.
On the other side, Ripple has retested the $0.698 – $0.753 demand zone many tomes within the last five months. With that, XRP has a high probability of breaching this barrier. If the remittance crypto forms a daily candle close beneath $0.698, a lower low will emerge, violating the bullish case. Such a development might see XRP bears exploring the levels at $0.604, following a 13% fall.
Cryptocurrency analysts have been bullish on Ripple this year. Remember, XRP ended 2021 with gains regardless of the legal fight with the US securities regulators. As individuals expect the case to end early this year, XRP might be waiting for massive upward movements. Moreover, experts believe Ripple will win. However, we may have to wait for the outcome. Stay tuned around for upcoming market updates.