January and February have been rough months for the cryptosphere. XRP has been no exception, losing more than half the gains that we saw through December, right after where we entered a downtrend that has lasted for weeks.
Strong fundamentals came in as early as January 11th with the partnership announcement between Ripple and MoneyGram. The price managed to spike up to 50 cents a coin, however the momentum lasted little and soon enough we were back onto the bearish theme that started on January 4th.
Even more news of new partnerships came in but that also didn't do much to the price.
All of this tells us that the current market sentiment of XRP is bearish. This is also fed by the sentiment that lingers over Bitcoin and similar cryptocurrencies.
We are, however, finally seeing a breakout of that downtrend. I normally draw only one trend line on my charts but I decided to draw two on this one because one shows a weak breakout and the other one seems stronger.
If this breakout is a real one, we might then be en-route towards the 1.38-1.40 levels and from there on 1.58-1.60. This could change the market sentiment overall and give XRP some power to climb up the hill.
Bear in mind that the prices vary somewhat between different exchanges so you might find S&R levels at slightly different prices but in general what we're looking for here is a market sentiment change of direction, rather than just new areas of supply and demand.
Strong fundamentals came in as early as January 11th with the partnership announcement between Ripple and MoneyGram. The price managed to spike up to 50 cents a coin, however the momentum lasted little and soon enough we were back onto the bearish theme that started on January 4th.
Even more news of new partnerships came in but that also didn't do much to the price.
All of this tells us that the current market sentiment of XRP is bearish. This is also fed by the sentiment that lingers over Bitcoin and similar cryptocurrencies.
We are, however, finally seeing a breakout of that downtrend. I normally draw only one trend line on my charts but I decided to draw two on this one because one shows a weak breakout and the other one seems stronger.
If this breakout is a real one, we might then be en-route towards the 1.38-1.40 levels and from there on 1.58-1.60. This could change the market sentiment overall and give XRP some power to climb up the hill.
Bear in mind that the prices vary somewhat between different exchanges so you might find S&R levels at slightly different prices but in general what we're looking for here is a market sentiment change of direction, rather than just new areas of supply and demand.
If the price manages to keep above it, we might see some further upward moves. Otherwise it will be a confirmation of a false breakout and the bearish trend will continue.