XRP strikes a bearish note: Is it time to short?

• A move towards $0.5 or 0.46 is likely based on the failure of mid-range supports over the last few days.
• Prices may rise to $0.6 as they search for liquidity.

Ripple [XRP] It was unsuccessful in its attempt to claim the support zone of $0.585. A recent report A breakout above $0.56 indicated a likely move towards $0.64.

The bullish expectations were deflated by the reality. Bitcoin [BTC] The altcoins market fell below $60k, as Bitcoin dropped. What’s the next short term and long-term targets For XRP, there are.

XRP bulls have the back foot

This range formation has been active for over a year. Its value ranges from $0.46 up to $0.71 with a mid-range of $0.585.

The 20-day moving median (yellow) and this level have acted in resistance over the past couple of days.

MACD indicated a crossover in the bearish direction and that momentum had turned bearish over recent weeks. Bollinger bands at $0.5 may be tested in the near future.

In the next few weeks, it is likely that the rejection of mid-range will be consolidated into another retesting of range lows.

XRP is likely to see a rebound in liquidity pools

Source: Hyblock

This delta showed that short positions were overwhelmingly dominant. A short squeeze, or price movement upwards was most likely to counteract and balance this.

Most liquidity is found between $0.586 – $0.598.

Source: Hyblock Capital

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The seven-day period of lookback highlighted the $0.56 and $0.586 clusters as being short-term liquidity areas that are important. Whatever zone is examined first, the liquid will most likely move in the opposite directions.

As a result, traders should expect some volatility. Swing traders could sell XRP at $0.6, and buy it between $0.46-$0.5.

Disclaimer: All information provided is the opinion and solely of the writer. The author does not provide any financial or trading advice.