XRP Nears $1.4 Despite Looming Trend Reversal Hints

XRP has been on a tear and has performed extremely well over the past week. The crypto-asset amassed gains of 127.85% over the same period. Its price has remained unfazed by the developments in the SEC’s lawsuit against blockchain firm Ripple and has kept on surging off late and has reached its highest level since January 2018.

XRP rose by 18.67% over the past 24-hours which catapulted its price to $1.37. At the time of writing, the crypto-asset recorded a market cap of $62.94 billion and a 24-hour trading volume of $30.38 billion.

The latest price action signaled a strong bullish market sentiment, and buyers are likely to drive prices higher. XRP has broken several multiple resistance and was currently eyeing for its ATH level.

XRP Daily Price Chart:

The rising volatility has induced an absolute rampage that causing a parabolic increase in the crypto-asset’s price.

Momentum was found to be strongly in favor of the bulls, even as there is a beginning of a bearish divergence that appeared to emerge. Furthermore, both 50 [Pink] and 100 [Blue] upsloping moving averages have continued to hover below the price candles forming crucial support levels.

The technical indicators have been witnessing a steadily rise in demand. The MACD, for instance, have been on the bullish region since the last two weeks depicting a increasing buying pressure.

The Chaikin Money Flow [CMF] was also on the rise indicating an increasing inflow of money into the coin market. The RSI was found to be in extremely overbought territory and is exhibiting signs of bearish divergence as the crypto-asset makes a higher high. Hence, there could be an imminent reversal in the trend.

Looking ahead, the resistance level lies at $1.56. If the bulls did manage to attract more gains, XRP could find target another resistance level of $1.94, not seen since the 2018 bull run.

On the other side, the support points were found at $0.581 and $0.47 respectively.

Chayanika Deka: Chayanika is a full-time journalist at TronWeekly with over two years of experience. A graduate in Political Science and Journalism, she focuses on the political and financial impact of cryptocurrency and blockchain developments.