Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
The price of XRP is about $2.80, but the indicators on different scales suggest the market hasn't quite found a solid bottom yet. One important volatility measure, Bollinger Bands, is still flashing warnings, not comfort.
First and foremost, taking a look at the weekly chart reveals that XRP is stuck between the $2.60 mid-band and the upper cap at $3.40. If one were to make a conclusion, it looks like sellers are still putting pressure on the market, since XRP's price is still below the middle line.
On the contrary, closing above that pivot point every week, it's better to be cautious than hopeful.
The two-day view of the chart gives a much clearer picture. The candles have been failing to hold above the midline, and the lower band is creeping up toward $2.70. That means there's a chance we could retest this level again if buying interest doesn't build up.
Again, on the contrary, if XRP can get past $3.05, it would be a sign that the switch is turning to bull mode, but it hasn't happened yet.
Finally, zooming in on the 12-hour time frame, it is evident XRP has been stuck in a sort of sideways drift since its big drop in August. The price has been in the lower half of the bands, which is a sign of weakness rather than strength.
Ultimate XRP price outlook
XRP's price support is still at $2.60 and then at $2.00, which is backed by the long-term levels from earlier in the year.
Should XRP drop to $2.60, it might hit closer to $2.00. But if it breaks through $3.05 and then $3.35, that could change the sentiment and make people more optimistic.
Right now, no matter what time frame you look at, Bollinger Bands are showing the same thing: XRP hasn't confirmed a bottom yet, and it's still pretty dangerous for buyers there.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team