As the cryptocurrency fell below the 200-day moving average and to a low of $0.56, XRP fell 16% today. Trading against Bitcoin, it fell to 1820 SAT.
XRP Fall Below the 200-day Moving Average
XRP kept its support around $0.82, 2020 high, in June. However, after much testing, the bears finally managed to break the support level over the weekend.
Yesterday, XRP fell below the 200-day moving average of around $0.72 and fell to the support level of $0.61 (downward of 1.618 Fib Extension). As XRP fell to a 2019 high of around $0.56 today, sales continued. The long-term trend line from the beginning of February provided additional support there.
XRP/USD daily chart. Source: TradingView
XRP Short Term Price Prediction
If the seller breaks through $0.56, the initial level of support will be at $0.5. It is followed by $0.478, $0.435 (Fib extension down 1.272), $0.4, and $0.25 (February 2020 high).
On the flip side, the initial resistance is at $0.61. Closely followed by $0.71 (200-day moving average), $0.8282 (2020 high and 20-day moving average), and $0.9.
The daily RSI is extremely oversold, showing the most bearish momentum since December 2020. This suggests that the shorts should overextend and a reversal is expected soon.
XRP/BTC Bear Push Price Below 2000 SAT
Trading against the BTC, XRP broke the 100-day moving average support yesterday as it fell from 2150 SAT and fell below 2000 SAT, hitting the July 2020 low of 1900 SAT.
It continued to decline today as it found support at 1820 SAT (down 1.414 Fib expansion).
XRP/BTC Daily Chart. Source: TradingView
XRP/BTC Short Term Price Prediction
Looking ahead, if sellers break 1820 SAT, the initial level of support will be 1700 SAT (200-day moving average). This is followed by 1660 SAT (down 1.618 Fib Extension), 1600 SAT and 1550 SAT (November 2020 low).
On the flip side, the initial resistance is at 1900 SAT (July 20th low). This is followed by 2000 SAT, 2200 SAT (100-day MA) and 2300 SAT (20-day MA).
The RSI is also extremely oversold, as it is at its lowest level since December 2020. This suggests that the bears should be a little overwhelmed by now.