Ripple plunged in the short term after failing to stabilize above 1.3 psychological level. At the time of writing, it was traded at 1.0522 level above 1.0156 today's low. Technically, the price action developed a potential Falling Wedge pattern, but this reversal formation is far from being confirmed.
XRP/USD dropped as the price of Bitcoin extended its sell-off. XRP/USD registered a 24.73% drop from 1.3494 higher-high registered on November 10th to 1.0115 today's low. In the last 24 hours, the volume increased by 38.05%.
XRP/USD at support
As you can see on the H4 chart, XRP/USD registered a false breakdown with great separation below the uptrend line and now is struggling to rebound. The pressure remains high as the rate stands below the downtrend line. 1.0 psychological level stands as a major support level.
Staying above the uptrend line and making an upside breakout from the Falling Wedge formation could signal that the downside movement is over and that the XRP/USD could turn to the upside.
Ripple forecast
Validating the bullish reversal pattern could signal a new leg higher. On the other hand, closing and stabilizing under the uptrend line may signal a deeper drop.
The material has been provided by InstaForex Company - www.instaforex.com