XRP Holds $2.42 Support As Bearish Signals Mount And Volatility Looms

Prices of XRP dropped 4.41% to $2.44 on May 15, bringing the market cap down to $143.31 billion. RSI and MACD suggested that the recent momentum was slowing and that pressure was moving bearish. XRP may head to $3.10 if $2.57 is overcome, but if it does not, it could fall to $1.20 The price of XRP was recorded as $2.42 on May 15 after a period of ups and downs in the crypto market. The price decreased by 4.41% in one day and reached $2.44. The market cap went down by 4.39% to reach a value of $143.31 billion. After XRP hit its highest point for the day at $2.57, many people wanted to secure their gains, causing a broader selloff. Fibonacci levels pointed to $2.42 as a significant level of support. However, rising above the resistance at $2.55 could carry XRP toward the higher levels of $3.10 or $3.39. Not managing to hold may cause the token to drop in value to $1.61 or $1.20. The red line falling from top left to bottom right, which used to be resistance, was retested. Traders are waiting for evidence of whether the market will improve or worsen. Accumulation interest could arise below $1.20, and a warning sign might be placed there to show that buying the asset could be a good idea. Technical indicators showed weakening market sentiment. RSI numbers reached 45.81, which is below its moving average of 58.13. After earlier gains in March, the stock market started to lose some of its earlier speed. The MACD chart indicated that the market was in a bearish trend. The MACD was below the signal line, while the histogram showed -1.27 billion. These signals pointed to more investors wanting to sell, making a continued reduction in XRP likely. So far, the market has been under short-term pressure following the disappearance of earlier momentum. After the price broke above $2.20, some traders sold, which caused another descent in the token. Within the first four hours, the market cap dropped 1.17%, going from $145.75 billion to $143.39 billion. However, a sign of weakness was observed in technicals measured across various periods. Traders are looking at momentum indicators for hints of a shift in trend. Retracement Levels and Cloud Signals Suggest Market Pressure On the 4-hour chart, Fibonacci retracement levels suggest that bulls are losing their strength. Following a high of $155.40 billion, XRP moved lower than the 0.236 level at $147.42 billion. At $142.48 billion and $138.50 billion, the prices based on the 0.382 and 0.5 retracements might provide support. Continued selling may push the market down to reach the 0.618 level, around $134.50 billion. The Ichimoku Cloud indicated that weakness was present even on a short-term basis. The Tenkan-Sen line crossed below the Ripple price, indicating an ending price increase. Oversold conditions prevailed in the market, indicated by a low Stochastic RSI of 8.6 in the 4-hour chart. Meanwhile, traders observed that the price of XRP turned away when trying to break through the upper Bollinger Band at $2.65, which is also where the Ichimoku Cloud lies. As all those indicators pointed to a possible reversal, it caused traders to withdraw their funds, which pushed the price down. The tighter point in the Ichimoku Cloud could mean the market will become quite volatile shortly. Brenda is a writer with three years of experience specializing in cryptocurrency, artificial intelligence and emerging technologies. She graduated from the University of Mombasa with a degree in Psychology. She has worked at Cryptopolitan and Blockchain Reporter. Source: https://blockchainreporter.net/xrp-holds-2-42-support-as-bearish-signals/