The overall cryptocurrency market has reawakened after a rough couple of days, which saw over $50 billion washed down the drain, setting up a bearish feel across the market. However, in the past 48 hours, top altcoins have regained momentum with XRP leading the charge as it gained 4.50% in the past 24 hours.
Could the digital coin be in for a major move towards $0.30 USD, and possibly break the yearly high set earlier in the month?
XRP gains 4% in a day, bounces off key support
Bulls were on hand to prevent a capitulation towards sub-$0.20 USD levels, with the price bouncing off key support at $0.2250 USD, representing a 4.56% increase in the past 24 hours. Starting the Friday Asian trading session at 0.2350 USD, the XRP bulls have struggled in the market climbing towards an intraday high of $0.2440 USD before crashing to current levels at $0.2400 USD.
With the market balanced at a key support/resistance level of $0.2500 USD, a move towards lower support or higher resistance is plausible as volumes in the market remain low. Failure to break the $0.25 resistance level, will kill off any hopes of a bull run in the near future.
However, the 4-hour charts offer a bullish signal on the price of XRP/USD, which may set the price towards new yearly highs.
Can XRP break key resistance and set new yearly highs?
After the bounce off support, bulls are setting their sights on key resistance at $0.30 USD, with a possible push to yearly highs on the cards.
Xrp / Usd
A possible scenario for Inverted Head and Shoulders.https://t.co/pqPkzwDm7T
It doesn't mean it will happen or will happen this way.
We had a new low, a falling wedge, and now a possible bottom reversal pattern. So far is looking good. pic.twitter.com/bKfKUOkrr1
— Wusten (@KriegVII) February 28, 2020
The short term moving average (MA) is closing in on the long term MA on the four hour candle charts, giving a bullish feel to the market. A cross between the two MA will signal a possible start of a bullish trend and a cross above the key resistance point at $0.25 USD will be the major entry point for XRP bulls.
If bulls breach $0.250 USD, then the investors should be on hand to welcome new yearly highs at $0.350 USD. The relative strength index (RSI) on the daily charts is below the buy in level but is oscillating on a bullish trajectory towards overbought levels.
